Coinbase, the famous US cryptocurrency exchange, has just extended its credit card offer to 6 new European countries, allowing customers in the region to spend their crypto.
According to an article published by CNBC, the Coinbase Card debit cards are now available in Spain, Germany, France, Italy, Ireland and the Netherlands. This new service launched by the exchange allows its European customers to directly spend their cryptocurrencies – bitcoin, ethereum, litecoin, etc. – at any physical or online seller who accepts Visa payments.
The extension of this offer, initially launched in the United Kingdom in April 2019, is the logical consequence of the success met with British users. Zeeshan Feroz, the executive director of the British branch of Coinbase, did not want to reveal the figures regarding the adoption of this new card in the United Kingdom. On the other hand, he added in an interview that the limit of the 1000 free cards offered was easily exceeded.
Through this initiative, Coinbase is competing with cards such as Wirex and Revolut, which are also proposing to convert its cryptocurrencies into fiduciary currencies in order to spend them thereafter. In the same concern of user experience, Coinbase bank cards are linked to a mobile application available on Android and iOS smartphones. In this way, the user can choose the cryptocurrency that he wants to convert for each expense.
The aspect of “conversion” is essential because the user does not pay the seller directly with cryptocurrencies. Coinbase is in charge of converting the amount into fiat money – in this case the euro for the 6 new countries – before making the payment. For this instant conversion, the company takes a commission.
For the deployment of its bank cards in Europe, Coinbase is in partnership with PaySafe, a UK payment company. But the Californian company does not want to stop there. Feroz also said it hopes to extend the offer to other markets, provided the right banking partners are found.
“We will look at all strategic markets, including the United States,” he said.