Cryptocurrencies have become increasingly popular in recent years, and experts say they will continue to have an upward trend. According to the Pew Research Center, 16% of Americans have invested in, used, or traded with them. But how do crypto’s and the rewards credit card work?
How do cryptocurrencies work?
Cryptos are a payment method with which you can make your regular purchases and acquire goods or services. Cryptocurrencies, commonly called digital money, employ an encryption mechanism that makes transfers secure and guarantees their ownership. Cryptocurrencies do not require an intermediary to regulate a transaction because they use blockchain technology, which keeps a record of digital transactions without needing a third party. This means that you can send cryptocurrencies on the internet without the need for intermediaries such as a bank or other financial institutions. This allows for fee-free and quick transfers. Investors see cryptocurrencies as mere speculation because the value of cryptos could change very fast, even in hours.
Is BlockFi Rewards Visa® Signature Credit Card for you?
BlockFi is a cryptocurrency platform that offers trading services, interest accounts, and money loans backed with cryptos that come with low-interest rates. They partnered with to launch a credit card that rewards you with Cryptos instead of points or miles. It comes with an introductory reward of 3.5% back in Bitcoin or other cryptocurrencies for the first three months, 1.5% back on the following ones, and 2% back over $50,000 spent annually. You can pay with this credit card in any establishment that takes a Visa. This card can be a good start if you want to start investing in cryptocurrencies without spending your money to do so.