The future of cashback: Companies adopt cryptoback rewards for card purchases
Companies have started to offer cryptoback rewards for credit card transactions, from business expenses to monthly subscription payments.
Receiving cash back from your credit and debit card purchases has been a long-time benefit for credit card users. However, various projects and companies have started implementing cryptoback rewards for card purchases.
Back in 2021, BlockFi launched a Visa-backed Bitcoin rewards card as a way to welcome users into the crypto ecosystem. With the card, users can get 1.5% back in Bitcoin (BTC) instead of other rewards such as cash or miles.
The same year, Venmo started allowing users to buy crypto with their cashback rewards. Its “Cash Back to Crypto” allows credit card users to spend their cashback rewards on crypto assets like BTC, Ether (ETH), Litecoin (LTC) and Bitcoin Cash (BCH).
Some companies started to follow the trend and integrated new crypto rewards using the old cashback mechanics. Here are two projects that provide crypto rewards for card purchases.
Payments platform Paystand recently announced the introduction of a corporate expense card that offers crypto rewards. With the card, businesses can get Bitcoin back without needing to redeem points, and they earn BTC automatically as they make purchases.
Jeremy Almond, co-founder and CEO of Paystand, expressed excitement over the new offering. “We believe blockchain technology and cryptocurrency is the future of finance, and we’re excited to help businesses participate and grow in the digital economy,” he said.
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A project called Plutus started offering 3% cryptoback rewards on Nike purchases back in 2020. More recently, the company announced that it’s extending its cryptoback rewards to all payments. This includes subscriptions such as Netflix, Spotify, Disney+ and more.
Apart from this, the company has also revealed that they will increase cryptoback rewards to 8%. This means that when users purchase with their cards, they automatically accumulate crypto.
