Intercontinental Exchange subsidiary Bakkt has introduced a debit card allowing customers to use crypto for retail purchases.<\/p>\n
In a Tuesday announcement, Bakkt said it had launched a fully virtual Visa debit card for both online and in-store spending. Card holders can spend Bitcoin (BTC) from their Bakkt accounts without waiting to convert the cryptocurrency to fiat.<\/p>\n
\u201cImagine a Bitcoin user who sees a significant gain,\u201d said Bakkt CEO Gavin Michael. \u201cNow, instead of selling and waiting to transfer to a bank, they can simply walk into their favorite store, tap their Bakkt Card and buy that new item they\u2019ve been eyeing […] the Bakkt Card untethers Bitcoin owners from their online-only past into a world with countless options to leverage the digital assets in their day-to-day lives.\u201d<\/p>\n
Sutton Bank, a member of the Federal Deposit Insurance Corporation, is issuing the debit cards in compliance with a license from Visa. Bakkt avoids BTC transaction fees by selling crypto to users at a price higher than that of the current market rate, which it said has been \u201cno more than 1.5% throughout 2021.\u201d<\/p>\n
The debit card release follows Bakkt announcing in March that it had launched a digital asset payments application allowing customers to use BTC and other cryptocurrencies for purchases. At the time, the platform was advertised as a way \u201cto amplify consumer spending, reduce payment costs, and bolster merchant loyalty programs.”<\/p>\n