How can debit cards be used to strengthen mainstream use of cryptocurrencies?

Despite the eruptive rise of cryptocurrencies counting one to 900 in 10 years, the average investor is bound to stockpile the coins and not use them in routine spending. However, given the overwhelming hype that they could supersede fiat, cryptocurrencies have some endorsement from 800 + Initial Coin Offerings (ICOs) that raised 5 billion USD from crowd sourcing, and this is not the tipping point as yet.

Businesses want to make crypto coins more convenient than cash, and there are, in fact, attempts have been made to promote the use of tokens for different roles such as value exchange, function, toll or providing the investor with rights.

To boost crypto economics, businesses are using debit cards for more token spending outside the local ecosystem, in the real world. Thereby, letting businesses tap upon the extensive transactional reach that debit cards are entitled to — ATM network for physical withdrawals and QR-code apps for digital withdrawals.

Businesses are attracting investors by letting them liquidate and spent their crypto holdings anywhere, anytime!

Moreover, they have reduced transactional fees that usually come loaded with fiat debit cards, followed by exclusive discounts and reward points on payments made through crypto assets. In complete contrast to the conventional debit card functioning, few organisations are allowing customers go anonymous if the spending is lower than an absolute limit.

The volatility in Cryptocurrencies is unaffected by geographic constraints and lets users hold their local money in crypto coins and counter inflation adversity. Debit cards, help withdraw and spend only the needed amount eliminating the hunt for merchants who accept a particular crypto token.

Reach the unbanked — More than 2 billion people don’t have access to banks

5 billion people in the world avail telecom services while only 1.2 billion manage their funds through banks. More than just an asset to trade, cryptocurrencies hold the enormous potential to reach the unbanked as most of these consumers use cellular service, and that’s all a crypto token needs. Unlatching profits from the massive reach of telecom, digitized economy is looking forward to resolving real-world problems, and crypto powered debit cards are highly instrumental.

However, delay times in currency conversion and a limited number of tokens to choose from have been the unfilled gaps for long.

Instantly converting cryptocurrency to fiat currency

More people asking for payments in cryptocurrencies will contribute to a token’s reputation and ultimately the ICO backing it. Capitalizing upon the ICOs zest to promote their token spending, innovative business models are addressing the underutilized tokens due to the absence of reliable payment infrastructure. There are wallets that let users instantly convert any ICO token into its Fiat equivalent value and withdraw the same via conventional channels such as online transfers and ATM withdrawals.

Through a secure payment wallet, businesses can White Label the prebuilt wallet and let users spend the crypto-token for transactions. As a vital step towards encouraging the use of tokens for routine expenses, enterprises can create personalized debit cards for their users thereby moving over excessive costing that goes into building an in-house payment system.

Wrap-Up

ICOs often fall prey to ‘power games’ as they stand against censorship and fight for seamless opportunities to trade. In spite of fitting perfectly in the digitized economy, cryptocurrencies aren’t a tradable tender in most countries but didn’t stop growing at 1300%. As more ICOs come forward with inventive payment infrastructure, mainstream utilization will not be in its infancy anymore.