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Crypto Debit Cards: Visa Partners With FTX Trading Ltd

Story Highlights
  • What is Bitcoin Debit Card?
  • New Partnership
  • Safer future, or ambiguous?

Visa, the industry leader in electronic payments, has partnered with FTX, a cryptocurrency exchange, to distribute cryptocurrency debit cards to more than 40 countries. Visa forecasts that the introduction of digital currencies will significantly impact how financial services and money flow are delivered in the not-too-distant future. 

 What is Bitcoin Debit Card?

A Bitcoin debit card, also known as a crypto debit card, is a prepaid debit card that can be loaded with Bitcoin or another cryptocurrency and used to make purchases at any store that does not accept Bitcoin directly. This kind of card is also known as a crypto debit card.

 Bitcoins and other cryptocurrencies may be stored on these cards, which can then be exchanged for the fiat cash necessary in a given country. Cash may be withdrawn from ATMs using a Bitcoin debit card in the same fiat currencies with which the card is compatible.

New Partnership

FTFX US and FTX.com have been the pioneers of cryptocurrency exchanges, changing the dynamics around the world. Taking things up a notch, an international partnership has been established between Visa (West Realm Shires Services Inc.) and FTF Trading Ltd to issue ‘Cryptocurrency Debit Cards. The partnership, which shows promise and arrangements of the process have already begun, was announced on 7th October 2022, Friday.

In the initial release, the primary focus and access of the Crypto Credit Cards will be in Latin America, Asia, and Europe. Availability of these cards in Europe will be by the end of this year, and in the rest of the world in 2023.

Users may use the debit cards to make purchases at any of the 80 million merchant locations around the globe that accept Visa using the cryptocurrency stored in their FTX wallets. There will be no service or transaction fees for these debit cards. 

Safer future, or ambiguous?

As a result of its advanced security features, such as two-factor authentication, biometric scanning, and mobile codes, Bitcoin debit cards provide the same level of protection as major credit cards. Putting a card on hold or canceling it may be done instantly, often via an app on a mobile device.

 On the other hand, many believe that Bitcoin debit cards do not provide the same level of security as offline digital wallets. In a technical sense, keeping cash on mobile wallets or in online exchanges may increase the risk of becoming the victim of a cyberattack. Transferring monies from a wallet to a debit card issuer may also increase this risk.

Cryptocurrency has already reshaped the world’s financial outlook, but for better or worse, it is something we will realize and understand once it unfolds completely.

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