Let’s discuss these two different credit cards; Crypto credit card and bank credit card with the help of this simple and informative article. Presently, cryptocurrency is the most lucrative asset of investors across the world.
Bitcoin and Ethereum together expanded their share to more than half of the crypto market in 2021. Crypto investors are now leading towards the crypto credit card to make transactions more convenient and efficient at any time and any place.
Although there is a difference between the cryptocurrency credit card and the traditional bank credit card. Let’s find out.
Differences Between Crypto Credit Card And Bank Credit Card
The crypto holders/investors can spend on transactions with a certain transactional reward on every transaction from the crypto credit card.
Whereas, a bank credit card does not entertain transactions related to cryptocurrencies and allows investors to make transactions in traditional digital cash with electronic and monetary rewards at the end of the month.
The rewards system varies from one crypto credit card to another. For instance, a Gemini card provides 1.5% cash back with more than ten types of cryptocurrencies in the market.
While, on the other hand, a Standard Chartered Bank credit card gives 5% cashback in services like fuel, electricity, and phone bills.
Similarly, Axis Bank’s credit card offers 5% cash back in utility bills, restaurants, and four free lounge visits per year.
How Do They Work?
The working style of crypto credit and bank credit card is different from each other. The crypto credit card does not involve directly in a cryptocurrency transaction.
The digital currency is first converted into fiat currencies before sending those to the issuer. However, this is not the case with a bank credit card. In the bank credit card system, investors can buy and gain reward points/cash immediately.
Are They Available In Physical Or Digital Form?
You can find a crypto credit card in both physical and virtual form but a bank credit card is only available in physical form.
Things To Remember
Crypto investors should be highly cautious while having transactions with cryptocurrencies due to high volatility in the crypto market.
Conclusion
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