The world economy is changing its shape rapidly. After the destructive impact of the coronavirus pandemic on the world economy, the advent of cryptocurrency into the mainstream is shaping the world economy into newer parameters.
As the world adopts newer means of finances and investment, cryptocurrency has created its niche market in the financial hubs. An amalgamation between investment and currency, cryptocurrency is fast gaining prominence across the world.
One of the most famous types of cryptocurrency, namely Bitcoin, is gaining popularity in wider spans as it reaches the masses; becoming an interesting mainstream means of investment.
Bitcoin just joined hands with credit cards and now it will be readily available for financial transactions. Several exchanges have allowed their customers to buy cryptocurrency directly with the help of credit cards. Bitcoin has gone one step further in going mainstream by introducing specialized Bitcoin ATM kiosks which are connected with the internet helping the customers to buy Bitcoin instantly.
What are Bitcoin ATMs?
Bitcoin ATMs are specially designed kiosks aided with a powerful internet for the consumers to buy Bitcoin and other cryptocurrencies. Bitcoin ATMs are gaining popularity rapidly; as they are easy to use and the purchase of cryptocurrency is readily accessible. The purchase of Bitcoin or any other cryptocurrency largely depends upon the network and machine that is being used; these kiosks enable the buyer to confirm their transaction by using credit or debit cards or even direct cash.
You cannot extradite cash from these ATMs and these ATMs allow customers to buy the cryptocurrency to a certain limit. An additional fee is also charged by these Bitcoin ATM kiosks.
Cryptocurrency’s intersection with credit card:
There are many ways to buy Bitcoin and other cryptocurrencies; credit cards just joined the league. Few cryptocurrencies have adopted credit cards as a payment method including Bitcoin but it is not the most feasible option as the additional fee charged on the credit card makes it the most expensive option to be used to buy a crypto coin.
Cryptocurrency is considered equivalent to cash by most banks, therefore once it is purchased it will be considered as an advance cash withdrawal from an ATM. In simpler words; it means that an additional fee will be charged and most probably an interest rate will be incurred as well; depending upon the withdrawal date or the purchase date of cryptocurrency.
Bitcoin rewards on credit cards:
One of the latest features introduced by credit cards is cryptocurrency rewards. The Bitcoin rewards for Visa credit cards were publically launched in 2021’s first quarter. The rewards are paid in Bitcoins so the customer automatically gains the ability to get Bitcoin at any appreciable price. The downside is the annual fee of $200 which is higher than other cashback rewards on credit cards.
Cryptocurrency seems to be the future of the financial world. The Credit Card-Bitcoin amalgamation just confirms what the future holds. As the first credit card launches its Bitcoin rewards; more will follow suit and this will define the new shape of the world economy.