Coinbase Launches Debit Card With Cryptocurrency Cashback

Coinbase will launch its Visa debit card in the US early next year. It will be available in all states except Hawaii and has a new reward feature - 4% cashback in Stellar cryptocurrency (XLM) or 1% cashback in BTC

Since April 2019, Coinbase Card is active in the UK and the European Union and currently operates in 30 countries. The plan to launch the card in the United States became known after the news about PayPal's entry into the cryptocurrency market (the fintech giant will make Bitcoin payments available to 26 million merchants).

US customers will be able to manage their cards directly with their Coinbase accounts. The debit card will be able to spend any cryptocurrencies that Coinbase supports in the US (and that the user has in the account).

“Industry trends show an increase in consumer activity. Now Coinbase is taking another step towards mainstream cryptocurrency adoption by introducing the Coinbase Card in the US, ”said Coinbase spokeswoman Crystal Young.

The card will be issued by South Dakota-based MetaBank and will operate on the Marqeta payment platform.

It is noteworthy that in the United States, cryptocurrency is considered property and every time you buy or sell cryptocurrencies, a capital gains tax liability arises. So far, Coinbase has not responded to exactly how the company will report the new product to US tax laws.