Cryptocurrency payments services provider BitPay has launched a new crypto debit card in partnership with MasterCard.
Announcing the news on Thursday, the Atlanta-based company said that the new MasterCard debit card will be a replacement of the current Visa card with similar features and functionality.
The new debit card will launch for BitPay customers in the United States allowing them to “instantly convert cryptocurrency into fiat currency, which is then loaded onto the card and can be spent anywhere MasterCard debit is accepted around the world,” according to the announcement. Users will also be able to withdraw funds through MasterCard supported ATMs across the world.
The outgoing Visa debit card has been a staple for BitPay customers allowing them to spend their cryptocurrency holdings wherever a Visa card was acceptable. However, BitPay will disable functionality for these cards on December 31st, 2020 and by this point, the company hopes that their current Visa card users will have applied and transferred their funds to the new MasterCard.
Fund deposits will be disabled for the Visa card starting July 31st this year. “Please redirect any recurring bank deposits, such as payroll, before this date,” the company advised in the announcement. At the end of the year, all Visa cards will stop working regardless of the card’s expiry date.
“The [MasterCard] BitPay Card offers new benefits and features for consumers making it easier to convert Bitcoin and other cryptocurrencies into a spendable balance without currency risk,” BitPay co-founder and CEO Stephen Pair said in a statement. “We are excited to work with MasterCard to expand crypto’s use while making it easy for businesses to attract new customers who want to spend Bitcoin and offer more places for customers with Bitcoin to shop.”
The MasterCard will support Bitcoin [BTC], Ethereum [ETH], Bitcoin Cash [BCH], Ripple’s XRP as well as USDC, GUSD, PAX, and BUSD stablecoins. According to the announcement, BitPay claims that there will be no conversion fees for any conversion between crypto and fiat pairs. “The card features an EMV chip that provides added security and is contactless-enabled for payments,” BitPay said.
Additionally, the new card will require a complementary mobile application through which users will be able to interact with the card such as changing settings, reloading, and viewing transaction histories. “The BitPay App not only tracks and manages card spend but also allows you to purchase crypto and gift cards from popular brands.”
There are plans to integrate the new MasterCard BitPay debit card with Apple and Samsung Pay according to Pair which will enable BitPay users to spend crypto held in their BitPay accounts without using the card or opening their BitPay App. The new card also employs KYC and AML measures to conform to FATF regulations.
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