Revamped Coinbase Cranks up Crypto Chaos with New Credit Card
Coinbase facilitates the feasibility.
Coinbase is stirring up a frenzy in the digital currency world. On a thrilling announcement at the "Crypto State Gathering" last Thursday, the company revealed plans to roll out a brand-new credit card, the "Coinbase One Card," chock-full of crypto rewards, ready to lash out at competitors like Gemini.
To begin with, this snazzy new card will first grace Coinbase One members only, who fork over a monthly fee, reaping rewards such as no transaction fees, VIP customer support, and increased staking benefits. The card's killer feature, however, is its tantalizing cashback program: purchases net you up to a whopping 4% Bitcoin bonuses! This canny move is a solid bet to win over customers and make the premium subscription all the more irresistible.
Remarkably, the rewards amount is directly linked to the amount of virtual currency held on the Coinbase platform by users. The card, processed through the American Express network, is slated to hit America's streets this autumn, with no plans for global domination just yet.
Comparing Coins: Coinbase One Card vs. Gemini Credit Card
Coinbase isn't the first to tiptoe into the territory of crypto credit cards. Rival exchange Gemini launched its own card in 2021, teaming up with Mastercard to offer up to 3% Bitcoin and other crypto rewards. Now, Coinbase takes a swing, aiming to outdo them with a potentially beefier cashback rate.
Here's how the Coinbase One Card and the Gemini Credit Card stack up against each other:
Rewards:- Coinbase One Card: expectation-defying 4% Bitcoin cashback on purchases, with the rate connected to Coinbase users' digital assets balances.- Gemini Credit Card: 4% crypto rewards on specific spending categories like fuel and EV charging, and 3% on culinary delights.
Eligibility:- Coinbase One Card: exclusively accessible to U.S. Coinbase One members, with subscription fees ($29.99/month for premium perks or $4.99/month for the Budget plan)[3].- Gemini Credit Card: available to one and all in the 50 United States without any fees.[2]
Partners:- Coinbase One Card: Buddies with American Express, providing advantages like zero foreign transaction fees and premium travel protections.[3]- Gemini Credit Card: Pal around with Mastercard, offering access to Mastercard perks and exclusive deals with select vendors.
Extra Perks:- Coinbase One Card: 4.5% APY interest on USDC and $10/month gas credits for active users.[3]- Gemini Credit Card: instant rewards, and a sleek, unassuming design, sans annual or transaction fees.
Gunning for Dominance: The Bigger Game
The introduction of the credit card is just the beginning of Coinbase's grand expansion strategy. In May, the company teased plans to establish a U.S.-based trading platform for continuous swaps, with the release of its non-stop derivatives trading platform.[2]
With the new credit card and its enticing cashback program, Coinbase is beyond doubt aiming to beef up its fan base and grab new customers into its premium fold. The crypto war, particularly for customer-oriented financial products, is heating up. Onlookers, buckle up; it's going to be a wild ride.
In the competitive landscape of cryptocurrency and finance, Coinbase's new credit card, the Coinbase One Card, is offering a 4% Bitcoin cashback on purchases to its premium users, surpassing the 3% crypto rewards offered by the Gemini Credit Card.
The battle for dominance in the crypto financial products market is intensifying, especially with Coinbase's plans to expand its offerings and attract a larger customer base with innovative products like the Coinbase One Card and its intriguing rewards system.
