Crypto exchange Bybit has partnered with leading payment processor Mastercard to launch a debit card that facilitates crypto payments.
According to reports, these cards would enable users to pay for goods and services from their crypto holdings. However, this payment process does not support direct payment in digital currencies. Instead, the payment process sees users converting their crypto into fiat at point of sales (POS) and ATMs.
The Bybit crypto card rollout begins with the release of virtual cards for online shopping in eligible European countries. However, the exchange plans to launch a physical plastic card in April that also supports crypto-to-fiat conversion payments. Supported digital currencies include Bitcoin (BTC), Ether (ETH), Tether (USDT), USD Coin (USDC), and Ripple token XRP.
Discussing the new development, Ben Zhou, co-founder and chief executive officer of the Dubai-based exchange, said:
“Bybit users will be able to access and manage their funds faster, more securely, and more conveniently. By launching Bybit Card, we are creating a full 360-degree journey for our users, offering next level reliability, products, and opportunities.”
Zhou also expressed optimism about Bybit’s latest payment scheme as a facilitator of increased mainstream crypto adoption. As the exchange’s CEO put it:
“We are confident that these innovative payment solutions will improve people’s lives and are a step towards a brighter future for crypto and finance.”
The online virtual Bybit payment cards are already available and are free to use. These cards automatically convert crypto balances into EUR or GBP, depending on whether the client resides in Europe or the UK. In addition, the cards see issuance by London-based payments solutions facilitator Moorwand.
Bybit Crypto Card Development Comes Amid Suspension of USD Deposits
However, the Bybit card development comes amid the crypto exchange’s suspension of US dollar deposits. Days ago, Bybit halted USD transfers for customers due to problems with its servicing bank. Addressing the suspension of dollar deposits and withdrawals, Bybit explained:
“We have temporarily suspended USD deposits via Wire Transfer (including Swift) due to service outages from our end-point processing partner until further notice.”
However, users of the Dubai-headquartered exchange can continue depositing dollars with Advcash Wallet and credit cards. Furthermore, users are also advised to execute all pending USD wire withdrawals by March 10th.
The recent Silvergate Bank announcement to discontinue its digital assets payment network impacted several US-based exchanges and ventures. Among these businesses is Bybit’s more prestigious rival, Binance, which also halted dollar transfers.
Reports also stated that Mastercard (NYSE: MA) and fellow payment-processing giant Visa (NASDAQ: V) were backing off the crypto industry amid market-wide crisis. The duo has halted new crypto and blockchain partnerships until market conditions improve. In addition, Mastercard and Visa are not keen on pursuing further crypto partnerships until the establishment of a more transparent regulatory framework.
Mastercard seeks to allow Web3-enabled crypto payments through USDC settlements, while Visa plans to facilitate crypto-to-fiat conversions on its platform.
Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge.
When he’s not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.