Crypto credit cards come in a variety of types, with notable differences in interest rates charged and reward rates offered. If you’re looking for the best crypto credit card, it helps to know your options and how the cards work.
Your crypto trading provider or crypto interest account provider may be offering a crypto card as well. Many of the cards come with rewards where you receive back a percentage of your spending in cash, points, or crypto.
How do crypto credit cards work?
Many crypto credit cards require at least a good credit score to be approved. The cards usually provide a credit line backed by your crypto assets. The interest rates on the loans are often variable, but many providers have a maximum limit on the rates they charge.
While some cards have a flat reward rate on every purchase, others have tiered rates. In cases where rates are tiered, you may earn more rewards on spending in particular categories or if you accept rewards in the provider’s in-house crypto token. There are also cards that are designed to earn you more rewards after you hit a certain level of spending.
Some cards earn cashback or reward points that you can convert into the cryptocurrency of your choice. Other cards offer rewards in a variety of crypto and may allow you to choose your favorite crypto reward type. In some other cases, you may only have to accept rewards in a certain crypto token.
Consider these points when selecting the best crypto credit card.
There's a crypto card out there for almost everyone. As a result, choosing a card comes down to personal preferences. The factors that influence crypto credit card choices are usually the reward rates, interest rates, reward options, and supported networks. For network support, many of the cards work where Visa or Mastercard is accepted.
What are the best crypto credit cards for rewards?
Many of the major crypto credit cards don’t charge annual fees. Most of the popular cards reward almost every purchase you’re likely to make. These are some of the best crypto credit cards to consider for rewards:
BlockFi Rewards Visa Signature Card
Gemini Credit Card
Upgrade Bitcoin Rewards Visa
Venmo Credit Card
How does the BlockFi crypto card work?
BlockFi offers a variety of crypto services, from crypto trading to crypto savings accounts. Its crypto card earns you 1.5 percent on every purchase up to $30,000 in annual spending. The rewards rate increases to 2 percent after you’ve spent more than $30,000. Therefore, the BlockFi card has a lucrative rewards scheme for big spenders. You can choose to receive your BlockFi crypto card rewards in Bitcoin or other cryptocurrencies. The card charges a variable interest rate in the range of 15 percent–26 percent.
Gemini’s crypto card offers up to 3 percent in rewards rate.
Gemini is among the leading crypto exchanges along with Coinbase, Binance, and Kraken. Its crypto credit card offers 3 percent back on restaurant spending. You’ll earn 2 percent back on grocery purchases. All other purchases earn 1 percent back. The card pays out rewards in Bitcoin, Ethereum, and more than a dozen other cryptocurrencies. The interest rates on the card are variable and come in the range of 13 percent–24 percent.
Upgrade’s crypto card rewards you in Bitcoin.
If you wish to earn your credit card rewards in Bitcoin, then the Upgrade crypto card may be for you. The card earns you a flat 1.5 percent on purchases. It offers a welcome bonus of $200. The card’s variable interest rate ranges from 8 percent–30 percent.
The Venmo credit card earns cashback that converts into crypto.
The Venmo credit card earns you up to 3 percent in cashback rewards. You can convert your cashback rewards into Bitcoin, Ethereum, Litecoin, or Bitcoin Cash. The card’s variable interest rate comes in the range of 15 percent–24 percent.
The Nexo Card has the best reward package for Nexo token holders.
Nexo operates a crypto trading, lending, and savings platform. Its crypto card offers reward rates in the range of 0.5 percent–2 percent. You can cash out your rewards in various cryptocurrencies, including Bitcoin, Ethereum, Ripple, and the Nexo token. The top reward is reserved for those who hold the Nexo token. The card charges interest rates of up to 14 percent.
Finally, crypto credit cards mainly work like regular credit cards. The idea behind many of them is that you may be able to spend your crypto funds without having to sell your crypto assets. However, you should still handle your crypto credit card responsibly.