At launch, the card will be available for 19 eurozone countries and will offer seven cryptocurrency payment options. But the shuttering of another crypto debit card, Shift, suggests there might not be much of a market yet.
After a successful beta in Spain, FinTech startup 2gether has announced its upcoming prepaid Visa debit card, which will allow users to spend their cryptocurrencies “as easily as if they were euros.” According to the press release, users of the 2gether crypto debit card will have a choice of either paying with euros or using one of seven cryptocurrency options: bitcoin, Ether, XRP, bitcoin cash, EOS, Stellar, and Litecoin.
Although 2gether has yet to release a date for when the debit card will be made available, the FinTech startup’s announcement states that any European Union (EU) citizen can now download the 2gether app, pass its know-your-customer procedures, and be placed on the card’s waiting list. When the card is released, customers can use the app to manage the euro and crypto balances available.
While the app is available for all EU citizens, the card won’t be quite as readily available when launched. According to the press release, the card will initially be offered in any of the 19 eurozone countries (member states of the EU who have adopted the euro as their common currency). 2gether does have global aspirations for its crypto debit card, stating on its website that it plans to expand its reach “to the rest of the world as soon as possible.”
Importantly, though 2gether’s release highlights the fact that the company wants to develop “the bank of the future,” 2gether’s website clarifies that the company itself is not a bank. Instead, 2gether calls itself a “financial platform that offers financial products and services manufactured and/or offered by third parties.” This means 2gether users’ money will be managed by Pecunia Cards E.D.E., an electronic money institution that “cannot lend or invest the deposits of the customers and have to have them available at any time.” The electronic money institution is itself supervised by the Bank of Spain and regulated under directive 2009/110 of the European Commission.
In its announcement, 2gether states its crypto debit card will “[walk] the walk” when it comes to fueling mass crypto adoption. Yet, though the card might provide a simple and easy way to spend crypto, crypto debit cards aren’t necessarily the most happening product in the cryptosphere. Just this February, Coinbase partner Shift announced it would be shutting down its bitcoin Visa debit card services on April 11. Though Shift didn’t provide a reason behind its decision, the announcement lined up with a Wall Street Journal report that claimed both Visa and Mastercard plan to increase certain transaction fees in April.
Though Shift’s debit card charges customers with various international and domestic fees, 2gether’s press release says customers will be able to use their debit card anywhere without fees. For those looking to be placed on the card’s waiting list, 2gether’s app is available to both iPhone and Android users.
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