Crypto Cards Emerge as Bridge Between Digital Assets and Traditional Payments
Crypto cards are becoming increasingly popular as they bridge the gap between digital assets and traditional payments.
These cards, issued by exchanges, fintechs, or crypto infrastructure providers, enable users to spend cryptocurrencies like BTC or stablecoins such as USDC at any merchant accepting Visa or Mastercard.
Behind the scenes, the process involves a complex interplay of blockchain technology, card network infrastructure, and real-time conversions. When a user makes a purchase, the card issuer checks their crypto wallet or exchange balance, converts the required amount of crypto into fiat currency at market rates, and processes the transaction.
The merchant receives fiat currency through Visa or Mastercard's traditional settlement rails, meaning they don't directly handle crypto.