With only a handful of outlets accepting crypto payments, the Coinbase card attempts to bridge the gap, allowing crypto holders to pay for goods and services directly using crypto without withdrawing their crypto holdings into fiat currency.
Coinbase
- Regulated exchange
- An easy-to-use platform
- Free crypto training offered
Coinbase
What Is the Coinbase Credit Card?
The Coinbase crypto card is a physical card that can be used as any other bank card for making payments and withdrawing cash at an ATM. It is a debit card issued by Pathward with a license from Visa to be used at any outlet that accepts Visa debit cards.
When used, Coinbase automatically converts your crypto holdings into US dollars which are then used to pay the merchant. It therefore presents an easier way to spend crypto directly without any fees or tax implications involved if you were to sell your crypto holdings and with no additional fees.
The Benefits That Come With Owning a Coinbase Card
- Zero fees: selling crypto in exchange for fiat draws various fees such as blockchain fees. However, there are no fees when you use the Coinbase debit card, be it for payments at an outlet or withdrawals at an ATM
- Lower taxes: selling crypto is a taxable transaction you must report. With the Coinbase Visa debit card though, you won’t have to include these additional transactions
- Coinbase card benefits: for every dollar spent using the Coinbase Visa card, you can earn up to 3% in cashback. These can then be reinvested in crypto meaning that you’re actually making a profit and earning Coinbase card rewards every time you use the card
- Keep earning: Coinbase already offers a way to earn up to 12% APY on your crypto through staking. Selling crypto for fiat halts your earnings, but Coinbase Visa lets you keep earning since you don’t have to sell and your gains can keep compounding.
The limits of the Coinbase card
- ATM withdrawals: the maximum amount you can withdraw at an ATM is limited to $1,000 per day
- Not available in all countries: Visa Coinbase has only been made available in the US (excluding Hawaii), the UK, and the EU
- Not a credit card: it is important to note that this is not a credit card for Coinbase meaning that you can only spend as much as you own in crypto
- Free physical debit card
- Zero fees on transactions
- Up to 3% in cashback
- Doesn’t draw tax implications
- Low rewards compared to the industry average
- $1,000 daily limit on ATM withdrawals
XTB
XTB is positioned as one of the most established crypto platforms, offering access to a wide range of currencies. With a focus on customer service and quality, the platform is ideal for those looking to enter the cryptocurrency market.
XTB
CFDs are complex instruments and have a significant risk of losing money quickly due to leverage. 76%-83% of retail investor accounts lose money due to CFD trading with this provider. Consider whether or not you understand how CFDs work and whether you can afford to take this high risk of losing your money.
Who Is Eligible to Own a Coinbase Card?
To qualify for it and earn Coinbase credit card rewards, you must be a Coinbase user and it cannot be connected to an alternative crypto wallet. Therefore, if you hold crypto in a different wallet or exchange, you will first need to transfer your holdings to Coinbase and then apply for the card.
Thereafter, you can apply for the card and have it delivered to your address. The main challenge is that it is currently only available to US, UK, and EU residents above 18 years of age.
Coinbase Card Fees
Through our Coinbase debit card review, we have found that there are few fees charged when using the service. Coinbase and Visa do not charge any fees when converting some crypto to US dollars to be transferred to a merchant.
However, there may be some conversion fees if you hold other crypto besides USDC and some merchant outlets around the world may have additional fees when making payments in other currencies other than US dollars
According to Coinbase debit card reviews by users across the world, though, there are rarely any additional fees to expect unless the outlet or ATM machine charges extra for transactions on the Visa network.
| Activity | Transaction fee |
|---|---|
| Card application and delivery | Free |
| Physical payments | Free (for USD payments) |
| Online payments | Free (for USD payments) |
| ATM withdrawal (US dollars) | Free (some ATMs may charge) |
| Crypto conversion | Free (for USDC) |
| Tax implications | None |
Coinbase Card’s Usability
The Coinbase card looks just like any other bank card and is designed to be used in the same way(s). For example, you can tap/swipe and pay at any outlet provided it is on the Visa network, pay for online goods and services that accept Visa cards, and even withdraw cash at any ATM across the world.
Since the card is issued by Visa, it can be used in thousands of online and physical stores all over the world. Moreover, with few fees charged throughout the process, it is also affordable wherever you need to pay.
- Pay for goods at a physical outlet
- Pay for goods and services online
- Withdraw up to $1,000 in cash
Coinbase Card Security
After your application, the physical card is delivered to the physical address and the card remains dormant until you activate it on your phone or computer to keep it secure until it is in your hands. Then, only you get to activate it and set a new PIN or deactivate the card later from your Coinbase account if you suspect it may no longer be secure.
As a Visa debit card, you still enjoy all the protections by Visa including fraudulent transactions to protect your holdings, meaning that you can always report any suspicious transactions for help. Plus, you can always
How To Get A Coinbase Card?
For this Coinbase Visa card review, we demonstrate how to receive the card from the Coinbase mobile app, but you can also follow along on your desktop browser.
Step 1: Application
Sign in to your Coinbase account and select ‘Card’ from the navigation bar. If you already have a Coinbase account, your address details should already be present, otherwise, enter them in the prompt page, agree to the legal disclosures, and tap on ‘Accept’.
Step 2: Activation
Once you receive the physical card, go to Coinbase card on the navigation bar and tap on ‘Activate physical card’. Enter the card details such as card number and CVV then set a 4-digit PIN you shall use when shopping and withdrawing cash at an ATM.
Step 3: Use
With the card setup complete, you can proceed to use it just like any other debit card wherever Visa cards are accepted.
Coinbase
- Regulated exchange
- An easy-to-use platform
- Free crypto training offered
Coinbase
Conclusion
Is Coinbase card worth it? In this Coinbase card review, we have seen the Coinbase card reward you can expect to get and some of the downsides too. For Coinbase users it is a great addition to other services on the platform allowing you to spend crypto easily and earn various rewards. However, the rewards could have been better when compared to other crypto cards in the market.
