Cryptocurrency used to be frowned upon, but now, more people are already using it as one of their main forms of currency. As the cryptocurrency market grows, financial institutions have also started embracing cryptocurrency as one of their payment options.
With these innovations in the payment processing industry, businesses also need to keep up by making sure that they have the right high-risk merchant account providers on their team to ensure that they can cater to the growing needs of a dynamic consumer market.
To make things better, American Express recently announced its partnership with crypto trading platform Abra to launch the new Abra Crypto Card on the American Express network.
The benefits of the new Abra Crypto Card
In an effort to cater to a growing number of crypto users, American Express recently announced at Coindesk’s Consensus Conference in Austin, Texas that it’s launching the Abra Crypto Card that will allow AmEx cardholders to transact in American dollars to enjoy cryptocurrency rewards on their purchases.
Abra described this new card as “the first crypto rewards credit card on the American Express network that will transact in U.S. dollars and offer crypto back on any purchase category and amount.”
The company also revealed that “the crypto rewards will be tradable across over 100 different cryptocurrencies supported by Abra, with no annual or foreign transaction fees.” And if you use this card on the American Express network, you get to enjoy exclusive perks and benefits that include pre-sale ticket access, purchase protections, global dining benefits, and limited AmEx offers.
The release of the Abra Crypto Card
Although Abra declined to share a lot of details about this new Abra Crypto Card, the platform revealed that the first version will launch later this year.
According to Bill Barhydt, founder and CEO of Abra, this card will eventually give users options to receive rewards through various cryptocurrencies together with traditional rewards offered to users in the AmEx network.
All cardholders will be registered with Abra where they can apply for a line of credit and once they start earning their rewards, they can take advantage of the platform’s swap exchange to convert their rewards without any hassles across different cryptocurrencies.
Barhydt also explained: “Eventually, we’re also working on a solution that will allow you to use your existing crypto balance to affect your credit line, which is something we’ll probably launch in the future. I think that’s a big benefit because a lot of crypto holders are kind of penalized when it comes to banking and credit.”
Mohammed Badi, President of Global Network Services at American Express said: “One of the ways we back the evolution and innovation of commerce is by making it easier for Fintech to develop and scale innovative payment solutions leveraging the American Express global payments network and the Amex/i2c platform.”
He added: “We have a long-standing relationship with Abra through our Amex Ventures investment portfolio,” which is why choosing the platform was a no-brainer for the payment processing giant