One of the newer developments in the bitcoin industry is the introduction of bitcoin debit cards, which aims to revolutionize day-to-day transactions. It functions as a typical debit card with an amount already stored and payments can be made by deducting from the balance.
Several companies such as BitPlastic and Xapo offer bitcoin debit cards, which allow clients to convert bitcoin to cash and withdraw from terminals. It also allows the owner to accept bitcoin payments using the QR code on the card.
BitPlastic vs. Xapo
Reviewing these two companies offering bitcoin debit cards shows that this kind of payment does offer a lot of convenience. With this kind of debit card, one can withdraw funds anonymously and securely, with the blockchain ledger keeping track of transactions. This requires no ID check and can be easily integrated with an existing bitcoin wallet.
BitPlastic offers a bitcoin to Paypal exchange, which it claims to be an almost instantaneous transfer of funds. Xapo did have a few problems during the launch of its debit card but the online access to the bitcoin portal and Xapo wallet did make things convenient for its customers.
BitPlastic also has an affiliates program, which could allow its current clients to earn as much as 30% of the fees collected from referrals. Bitcoin shopping carts can be easily set up, as online sellers could include a button for its buyers to pay with bitcoins online with a few clicks of a button.
Of course usage fees apply, with BitPlastic charging a 5% conversion fee from Bitcoin to send cash to the debit card card. The ATM usage fee is minimal at about $1.50 per transaction. Meanwhile, Xapo had a bit of a rut in extra fees during its launch, as consumers complained about additional costs associated with the plastic card printing itself.
