Crypto cards, those debit and credit cards linked to cryptocurrencies, have moved beyond being just a promise to become a silent revolution that is changing the way we spend, save, and interact with money in everyday life.

Crypto cards act as a bridge between the world of digital currencies and the traditional financial system. With them, it is possible to use cryptocurrencies to pay at physical and online stores without needing to sell your assets beforehand or go through complicated processes.

The big advantage lies in ease and speed: when making a purchase, the card instantly converts the cryptocurrency value into local currency. This brings convenience and begins to break down the barrier still existing for the mass adoption of cryptocurrencies.

Crypto cards operate through the integration between blockchain and traditional payment systems like Visa and Mastercard. When the user makes a purchase, the cryptocurrency amount stored in the wallet is converted “on-the-fly” (in real time) into fiat currency through a partner exchange or liquidity provider. This instant transaction happens within seconds, allowing the merchant to receive payment in local currency without dealing directly with cryptocurrencies.

The most commonly used blockchains for these cards are usually Ethereum, BNB Smart Chain, and other networks with high liquidity and speed. The security and traceability of the transaction are guaranteed by blockchain technology, while the user-friendly interface and conversion process are handled by fintechs and exchanges involved.

In recent years, the crypto card market has experienced exponential growth, a true boom, that has caught the attention of investors, users, and regulators. The global transaction volume made through these cards has grown over 120%, driven by factors such as:

• Increased public familiarity with cryptocurrencies: Growth in education and the rise in digital investors have generated more confidence in practical use of these currencies.

• Technological advances: Instant conversion processes, better integration with traditional networks, and improvements in security have attracted more users.

• Expansion of fintechs and Web3 startups: New companies have entered the market offering more accessible and functional solutions, focusing on usability.

• Clearer regulations: Regulatory bodies in various countries, including the Central Bank of Brazil, have created a safer environment for users and issuers.

• Demand for financial inclusion: In emerging countries, crypto cards have served as an entry point for financial services for those outside the traditional banking system.

In Brazil, this boom is evident: the number of crypto card issuers has doubled in a short time, and acceptance in commercial establishments has grown, especially in large urban centers. Additionally, many consumers see crypto cards as an alternative to escape high fees and bureaucracy of the traditional financial system.

This rapid growth not only expands the cryptocurrency market but also challenges the conventional financial system, signaling an ongoing structural transformation.

The adoption of crypto assets is no longer linked only to investment and speculation. Fintech companies, exchanges, and Web3 startups are heavily investing in solutions that integrate cryptocurrencies into daily life, and crypto cards are the central tool in this transition.

Moreover, clearer regulations in many parts of the world (including Brazil) have created a safer environment for using these cards, giving confidence to users and financial institutions.

In Brazil, the Central Bank has advanced in regulating the cryptocurrency market, seeking to balance innovation and consumer protection. Fintechs issuing crypto cards must comply with strict security, anti-money laundering, and transparency standards. Still, regulatory challenges remain, especially regarding crypto asset volatility and tax treatment of these transactions.

Internationally, countries like the United States and members of the European Union already have more mature regulations, which has driven adoption and sector development. This scenario of greater legal security is one of the main reasons for the rapid growth of crypto cards.

• Research indicates a significant portion of the population, such as 35% of Brazilians, already consider using crypto cards for their purchases.

• The global volume of transactions via crypto cards has grown significantly in recent years, according to data from the Crypto Payments Association.

• In Brazil, the number of crypto card issuers has recently doubled, with accelerated expansion especially among fintechs.

Today, practically anyone can start using crypto cards, thanks to increasing ease of access and diversity of options in the market. However, certain profiles tend to make better use of the features and benefits these cards offer, such as:

• Active investors who want to use part of their portfolio daily without selling their assets.

• Digital native youth and tech enthusiasts seeking convenience.

• Freelancers and international professionals who perform transactions in multiple currencies.

• People outside the traditional banking system who gain financial inclusion through fintechs.

• Mass adoption: Crypto cards remove complexity for consumers, who don’t need to understand the entire blockchain to use cryptocurrencies daily.

• Financial inclusion: People without traditional bank accounts can access digital financial services through these cards.

• Cashback and crypto rewards: Many companies offer exclusive benefits, such as cashback in cryptocurrencies.

• Integration with loyalty programs and NFTs: Crypto cards are beginning to be used to integrate digital rewards.

• Traditional Exchange Cards (Custodial)

  • Crypto.com Card: One of the most popular globally, offers cashback up to 8%, VIP lounge access, and service discounts.

  • Bybit Card: Custodial, with fast conversion, crypto cashback, and Bybit platform integration.

• Hybrid Cards (Semi-Custodial)

  • Kast Card: Hybrid card with more asset control and instant conversion support.

  • Redot Pay: Hybrid model with multiple wallet integration.

• Self-Custodial Cards

  • Gnosis Card: Full user control with smart contract payment tech.

Imagine paying for breakfast, Uber, or groceries directly with Bitcoin or stablecoins. Or receiving cashback in crypto and reinvesting it automatically.

Crypto cards use cryptography, MFA, real-time alerts, and quick app-based blocking.

• Volatility

• Infrastructure dependence

• Security risks

• Regulation still evolving

• Smart contracts for programmable payments

• Decentralized digital identity

• NFT integration

• Integration with the metaverse

• Utility/governance tokens linked to cards

• Decline of fiat in favor of hybrid systems

• Merchant acceptance

• Volatility discomfort

• Regulatory evolution

• Financial and digital literacy

Crypto cards are an invisible revolution already happening. They promise to connect the digital universe to the real world, transforming money usage, financial inclusion, and consumer experiences.