Wondering how you can actually spend your Bitcoin?

You might be surprised.

The number of businesses that accept Bitcoin as a mean of payment is increasing steadily.

You can buy a lot of stuff with your bitcoin including coffee at Starbucks, flights and hotel rooms at Expedia, blog hosting at Hostinger, a Tesla car and even a private spaceflight with Virgin Galactic.

But…

How about many other retailers that have yet to accept Bitcoin as a payment method?

Unlike traditional cash system, you can’t just walk into any store and buy something with your BTC.

For those who are not so tech-savvy, probably they won’t even want to deal with many different kinds of bitcoin wallets out there.

This is where Bitcoin debit card comes into place.

Bitcoin debit card allows you to buy almost anything with your crypto coins as easily as your credit card.

What are Bitcoin Debit Cards?

Bitcoin debit cards (also known as Crypto Debit Cards) are like regular debit cards.

They came into existence with the aim of providing an easy, hassle-free experience for everyone to use their crypto assets directly in everyday transaction.

As they’re linked to Visa and MasterCard processors, you can basically use the Bitcoin debit cards anywhere in the world.

How do Bitcoin Debit Cards work?

To better understand how bitcoin debit cards work, let’s take a quick look at these few variations of bitcoin credit cards available.

Prepaid bitcoin debit cards allow you to top up your card with bitcoin and will instantly convert it to fiat currency. So you have dollars, euros, yens etc ready in your card to make a purchase.

While non-prepaid cards store the BTC you load onto the card. Your bitcoin will only be converted to fiat on the spot at the time of a transaction.

There are also cards that are linked to the fiat accounts that allow you to move your funds between crypto and fiat as much as you like.

Regardless of how they work, your crypto debit cards can be used for daily purchases and payments, big and small.

Types of Bitcoin Debit Cards

Generally, bitcoin debit cards come in two forms:

a) Plastic, physical debit cards

Can withdraw cash from ATMs around the world, working exactly like your standard debit card.
Can make both online and offline payments anywhere VISA/MasterCard have accepted
Ideal for frequent travelers, digital nomads, expats, international students

b) Virtual debit cards

Cannot withdraw cash from any ATMs around the world.
Can only be used for online transactions
Ideal for verifying online account purposes and online shopping

How to use a Bitcoin Debit Card

Plastic Debit Cards

It’s easy to mistake a plastic bitcoin debit card as your normal debit card.

In both cards, they have the same visual appearance, with information like Cardholder’s name, Card number, Expiry date, CVV/CVC number, Issuer company name and Processor name printed on them.

Each plastic card comes with a chip and PIN number. You can carry around the card in your wallet, use it in a physical shop or withdraw cash from ATMs. To make an online purchase, simply enter your card details.

Virtual Debit Cards

While you can’t use a virtual debit card for offline purchases, it’s pretty useful for making all types of online transactions.

All you need to do is enter your card details such as Card number, Expiry date and CVV number whenever you need to purchase something online.

Advantages of using a Bitcoin/Crypto Debit Card

Having a VISA/MasterCard linked-bitcoin debit card accepted by all merchants across globe is simply amazing!

You can just buy anything with your crypto coins in the real world. This isn’t only limited to your home country but in any country any merchant that accepts credit and debit cards.

Access to these borderless bitcoin-funded debit cards is crucial for anyone, allowing you to make purchases online and/or offline, anywhere in the world without the hassle of expensive fees.

Undeniably, your regular debit card also works overseas but there are few major benefits of using Bitcoin/Crypto debit you shouldn’t overlook.

Allow you to spend Bitcoin with merchants who don’t normally accept bitcoins.
Allow you to spend on daily payments like booking hotels, buying groceries, food, transportation tickets and pay bills.
Allow you to travel overseas without looking out for currency exchanges.
Allow you to send money to anyone in the world.
Allow you to keep and withdraw more than one fiat currency like USD, GBP, EUR etc.
Some cards allow you to stay anonymous for small amount purchases.
Most bitcoin debit cards allow you to spend Ethereum, Ripple, Litecoin, Dogecoin and other cryptocoins.

There are tons of service providers that you can choose from, namely

Each company has its own set of services, transaction charges, fee structures, cryptocurrency and fiat support.

In the next coming post, I’ll cover the best Bitcoin debit cards to help you find the card that’s right for your needs.