Cashback on credit and debit card purchases has long been an advantage for credit card users. However, many projects and companies have begun to implement crypto rewards for card purchases.
In 2021, BlockFi launched the Visa-supported Bitcoin Rewards Card as a way to welcome users into the crypto ecosystem. With the card, users can use 1.5% of Bitcoin (BTC) instead of other rewards such as cash or miles.
That same year, Venmo began allowing users to buy cryptocurrencies with cashback rewards. The Cash Back to Crypto feature allows credit card users to use their cashback rewards on cryptocurrencies such as BTC, Ether (ETH), Litecoin (LTC) and Bitcoin Cash (BCH).
Some companies are starting to follow this trend and are introducing new crypto rewards using the old payback mechanisms. Here are two projects that provide crypto rewards for card purchases.
The payment platform Paystand recently announced the launch of a corporate account that offers cryptocurrency rewards. With the card, companies can redeem bitcoins without using points, and they automatically earn bitcoins when they make a purchase.
Jeremy Almond, co-founder and CEO of Paystand, was pleased with the new offering. “We believe that blockchain technology and cryptocurrencies are the future of finance, and we are committed to helping companies participate and grow in the digital economy,” he said.
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A project called Plutus has started offering 3% crypto rewards for Nike purchases in 2020. The company recently announced that it is extending crypto rewards to all payments. This includes subscriptions like Netflix, Spotify, Disney + and more.
In addition, the company also announced that it will increase the reward for cryptocurrency up to 8%. This means that when users buy with their cards, they automatically accumulate cryptocurrencies.