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Nexo Launches Crypto-Powered Mastercard for European Economic Area Residents

Nexo's crypto Mastercard revolutionises spending, offering rewards and interest on stored assets while simplifying financial transactions in the EEA.

Shashank Bhardwaj
Published: Sep 1, 2023 02:42:26 PM IST
Updated: Sep 1, 2023 02:56:17 PM IST

Nexo Launches Crypto-Powered Mastercard for European Economic Area ResidentsImage: Shutterstock

UK-based crypto lender Nexo has unveiled a new crypto-enabled debit and credit Mastercard, initially available in selected European countries. This innovative card empowers European Economic Area (EEA) users to spend without liquidating their digital assets, which serve as collateral for the credit provided.

The Nexo Card allows EEA residents to make debit transactions using euro, U.S. dollar, and British Pound stablecoins at over 100 million merchant terminals worldwide. Balances stored on the card can also earn up to 9% in annual interest, adding an appealing dimension to crypto asset management.

Notably, Mastercard has integrated support for crypto into its loyalty programs, enabling partners to offer rewards and loyalty points in digital currencies. This means consumers can earn rewards in crypto and use them for purchases, bridging the gap between traditional loyalty points and digital assets.

The Nexo Card comes in both debit and credit modes, with the latter utilising significant crypto like Bitcoin as collateral. This credit mode offers users up to 2% cashback and an attractive 16% annual interest on utilised credit lines. Importantly, debit and credit transactions automatically convert users' crypto holdings into fiat currency when used at terminals, adding convenience and usability. Nexo assures customers that the assets stored on the card are protected by well-established entities like Ledger and Bakkt, offering an additional layer of security.

This crypto-powered card offers numerous benefits, including no monthly or inactivity fees, exemption from foreign exchange fees for transactions up to 20,000 euros ($21,700) per month, and a generous monthly ATM withdrawal limit of 10,000 euros ($10,800). Upon successful completion of Know Your Customer (KYC) verification procedures, users will receive virtual and physical cards, which can be linked to popular payment services like Apple Pay and Google Pay. 

The introduction of the Nexo Card reflects the ongoing trend of collaboration between crypto platforms and established financial networks. It enables digital asset enthusiasts to seamlessly use their holdings for everyday transactions, demonstrating the growing acceptance and adoption of digital assets in the global financial ecosystem.

Shashank is the founder of yMedia. He ventured into crypto in 2013 and is an ETH maximalist. Twitter: @bhardwajshash