There are a few bitcoin prepaid cards in the market but finding the best one can be very difficult at first. Each prepaid card has complicated terms and conditions and fees behind them. Bitcoin debit cards are pretty much prepaid cards that use a specific cryptocurrency.
This opens up the world of buying options and goods even if you use traditional payment options. A lot of crypto exchanges are implementing cards to make it easier to spend Bitcoin on real goods and services.
That’s why this guide was created to help new crypto enthusiasts learn more about the wonders of a Bitcoin prepaid card. While it seems daunting at first, these cards have a lot of utility and use behind them. So continue reading to learn about them and how they can be a huge asset in your life.
How do Bitcoin Prepaid Cards Work?
First, you order your card from an established provider. Once your card arrives, you have to activate it and add funds onto it. To add funds, go into your bitcoin wallet and transfer bitcoins on the card.
Then, the card provider will convert the bitcoins into fiat currency such as USD or Euros, whichever currency that your card is using. Most card providers will allow you to spend your bitcoins immediately while others make users wait at least 4 days.
Bitcoin prepaid cards have different levels of anonymity. It depends on how much Bitcoin you’re planning to spend and how often you use it. For example, if you want to spend more than $2500 on the card, you have to register with legal identification (passport, utility bill, or identity card). With this level of verification, you’re exposed to other features such as ATM withdrawals and how much you can place on the card.
Every card has fees that occur each month. This can range from $1 or higher. But, you can be charged another fee if you’re not active – if you like a taxes for not generating and spending money for your card provider.
Remember, these prepaid cards can hide some details in their terms and conditions, so make sure you research thoroughly!
Just like every prepaid card, there are some processing fees applied. These fees will vary depending on how the currency is used and its current value. If the card is used for domestic purposes, then it will have a $2.5 fee. For international purchases, the fees are about $3.5.
Some cards will have an ATM limit which is determined based on the level of anonymity. Basically, the more anonymity, the less you can use the card at an ATM.
If you’re going to try to use Bitcoin for real-life purchases, then a Bitcoin Prepaid Card is your best option. Not only does it help you quickly convert your crypto into fiat money, but it’s also a great tool in purchasing goods and services. The possibilities are endless so make sure that you get your card from a reputable platform before fully using it!