Nexo and Mastercard launch the world’s “first” payment card backed by cryptocurrencies. There will be no commissions up to €20,000/month.
Cryptocurrency lender Nexo confirmed on Wednesday that it has partnered with global payments company Mastercard to launch what it calls the world’s first “cryptocurrency -backed” payment card.
It is the latest move by traditional financial networks and cryptocurrencies to join forces as digital assets become mainstream.
Nexo said that the card, initially available in some European countries, allows users to spend without having to sell their digital assets, such as bitcoin, which are used as collateral to support the credit granted.
Most traditional credit cards are unsecured and have a set credit limit.
The card is linked to a credit line provided by Nexo and backed by cryptocurrencies. It can be used at 92 million merchants around the world where Mastercard is accepted, allowing investors to spend up to 90 percent of the fiat value of their crypto assets, Nexo confirmed.
“The card does not require minimum, monthly reimbursements, or commissions for inactivity. There are no commissions for currency exchange up to 20,000 euros per month,” he said.
