Xapo to release BTC debit card by end of June 2014
Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term wallet and Cold Storage Cold Storage Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Read this Term solution Xapo announced that the first BTC loaded debit card will be made available by the end of June 2014.
The card will be accepted by all merchants who participate with Xapo’s bank and card issuing partner. It was rumored MasterCard would offer the plastic behind Xapo’s card venture, but those remained rumors and MasterCard has stated it is not currently partnering with any firms to issue a Bitcoin loaded debit card. The card issuing network and banks have yet to be disclosed by Xapo.
"The Xapo debit card will be accepted by any business in the world that accepts debit or credit cards from our bank's card network partner," says Wences Casares, Xapo’s founder.
Xapo is targeting other potential card issuing networks besides the big 2, MasterCard and Visa. Networks such as Star, Pulse or MAC could allow for merchants to accept transactions from debit cards not affiliated with particular banks.
Xapo’s card would convert amounts from BTC to FIAT in order for merchants to charge the card. Given the transactions will be placed in conventional tender over a card network, interchange fees and rates will apply, eliminating the near-free fees and rates associated with the virtual currency.
"While some Bitcoin enthusiasts may want to see the cryptocurrency go mainstream, many others feel that routing Bitcoin transactions through a credit card network defeats the purpose of using Bitcoin," says retail banking analyst at the Aite Group, Nathalie Reinelt.
Madeline Aufseeser, a senior analyst from Aite Group also expressed her concerns on banks that are willing to issue Bitcoin loaded debit cards. While the notion is probable, the execution may prove to be more challenging than expected.
“Most non-financial institutions don’t realize the extent of due diligence and requirements of becoming a licensed issuer,” Aufseeser warned.
Given the cons related to debit cards, primarily fees and rates, a Bitcoin debit card could increase adoption given its more accessible nature. We will have to wait and see when Xapo releases its card to report on real world usage.
Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term wallet and Cold Storage Cold Storage Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Cold storage is a computer system or mode of operation that is designed for the retention of inactive data, in this case private keys for cryptocurrencies. This helps put up resilient barriers against theft by hackers and malware, and is often a necessary security protocol especially dealing with large amounts of Bitcoin.In order to “own” a cryptocurrency, one must be in control of a cryptocurrency’s private keys. As such, private keys are long strings of random characters that can be used to se Read this Term solution Xapo announced that the first BTC loaded debit card will be made available by the end of June 2014.
The card will be accepted by all merchants who participate with Xapo’s bank and card issuing partner. It was rumored MasterCard would offer the plastic behind Xapo’s card venture, but those remained rumors and MasterCard has stated it is not currently partnering with any firms to issue a Bitcoin loaded debit card. The card issuing network and banks have yet to be disclosed by Xapo.
"The Xapo debit card will be accepted by any business in the world that accepts debit or credit cards from our bank's card network partner," says Wences Casares, Xapo’s founder.
Xapo is targeting other potential card issuing networks besides the big 2, MasterCard and Visa. Networks such as Star, Pulse or MAC could allow for merchants to accept transactions from debit cards not affiliated with particular banks.
Xapo’s card would convert amounts from BTC to FIAT in order for merchants to charge the card. Given the transactions will be placed in conventional tender over a card network, interchange fees and rates will apply, eliminating the near-free fees and rates associated with the virtual currency.
"While some Bitcoin enthusiasts may want to see the cryptocurrency go mainstream, many others feel that routing Bitcoin transactions through a credit card network defeats the purpose of using Bitcoin," says retail banking analyst at the Aite Group, Nathalie Reinelt.
Madeline Aufseeser, a senior analyst from Aite Group also expressed her concerns on banks that are willing to issue Bitcoin loaded debit cards. While the notion is probable, the execution may prove to be more challenging than expected.
“Most non-financial institutions don’t realize the extent of due diligence and requirements of becoming a licensed issuer,” Aufseeser warned.
Given the cons related to debit cards, primarily fees and rates, a Bitcoin debit card could increase adoption given its more accessible nature. We will have to wait and see when Xapo releases its card to report on real world usage.