Bitcoin is slowly making its own space in the global market. The alternative of traditional financial system is marking the steps. As a result, the inevitable question has arrived- do the Bitcoin system need debit card? There are some important things to consider before deciding on the topic. Let’s look at some of the scenarios of the Debit Card situation.
Bitcoin debit card is old news
Xapo was the first Bitcoin service to introduce debit card system back in 2014. Now there are several companies that provide debit card service to the users. The idea of Bitcoin debit card has spread among the communities with great expectation and thousands of users are using it for their daily transaction purposes.
Spectro Finance is another company that has been providing its users with Bitcoin debit card service since 2015. They have issued over 20 thousand cards across 120 nations. You can use the card in any place that accepts MasterCard or Visa. Millions of ATMs around the globe support this card. Instant funding is one of the key features of this credit card service which allows the users to change their cash into dollars, euros, or pounds; instantly.
Not so anonymous anymore
Bitcoin debit card service is the most accessible Bitcoin service so far, but it has some significant setbacks. Anonymity is one of the fundamental properties of crypto technology. Privacy is not an option for debit card system. It’s quite impossible to bring the anonymity factor into consideration while existing alongside other funding system such as MasterCard or Visa. Most of the services require bunch of documentation work regarding identity verification in order to start transactions.
SpectroCoin allows both parties to have something in their sleeves. Users can remain anonymous if the fund revenue stays under $2500. For higher fund processing access, the user would need to verify his or her credentials to get premium service. Experts believe that balance between anonymity and accessibility should remain at some extent to give clients the perfect cryptocurrency experience.
There are some extra cost factors to consider for the debit card system. A physical card purchase charge is $15 and $60 for express delivery for some instances. Per withdrawal charge is $2 and $3 for domestic and international ATM respectively. Then there’s maintenance costs such as, PIN charge, monthly or annual fees etc. For a currency system that is trying to replace fiat system in both speed and cost factor, the spending limits are bit too high.
Adoption of Cryptocurrency
Most significant problem of using A Bitcoin debit card is the lack of ATM services accepting Bitcoin. Bitcoin has yet to establish with a wide range of acceptance. Number of merchants around the world is still on the low side to be considered as global currency. There are positive signs among the community though. The interest on cryptocurrency has been rising ever since it hit the mainstream. Big time investors and Major commercial sites are thinking of integrating Bitcoin and blockchain tech for enhancing the financial system. Soon the hype will be at a satisfactory level which will invoke merchants to adopt Bitcoin across the globe. Then, we can say that debit card service will have significant rule to play.