Crypto.com Card Review: Benefits, Pros & Cons, and Risks

Our cat is not as enthousiastic as us

Everywhere we go now we hear about crypto. Even in the mainstream media it is very normal to publish about the topic. How different is that compared to 10 years ago when most of the people did not even hear about it.

We were one of those people who invested at the end of 2017 when the prices were increasing rapidly. Crypto.com had launched the Crypto.com Card and we reluctantly order one. In this article, we’ll dive into the benefits, pros and cons, potential risks of the Crypto.com Card and we will share our own experience with the card.

What Is the Crypto.com Card?

The Crypto.com Visa Card is a prepaid debit card that allows users to put fiat money on it or convert and spend cryptocurrency anywhere Visa is accepted. The card comes in multiple tiers, each offering different rewards, cashback percentages, and perks based on the amount of CRO (Cronos) tokens you stake.

We currently have Royal Indigo card. The amounts needed for staking we increased a couple of times now. We staked 3.500 euro for it, which is now 4.500 (at the moment of writing) but it was less than 1.000 euro when we first requested our Ruby steel card (which was at that time around 50 euro).

Benefits of the Crypto.com Card

1. Crypto Rewards and Cashback

One of the biggest advantages of the Crypto.com Card is its cashback rewards. It is the main reason we are using the card and also why we are using the Crypto.com platform. Depending on the card tier, users can earn up to 5% cashback on purchases paid in CRO tokens. But realistically upgrading above Royal Indigo (4.500 EUR staking) we would never advise.

2. No Annual or Monthly Fees

Unlike traditional credit cards (it is a debet card anyway :) ), the Crypto.com Card has no annual or monthly fees, making it an attractive option for those looking to avoid extra costs.

3. Global Acceptance

Since it operates on the Visa network, the Crypto.com Card can be used for purchases worldwide, both online and in physical stores. We have never encountered any problems. We can basically anywhere, even now in the Netherlands, where paying via Visa is not common.

But be aware, it is not a creditcard, so renting a car could be difficult (we had that problem in Italy last summer, our reservation was declined on arrival at Europcar, luckily another car rental allowed debetcards)

4. Other Perks

Higher-tier cardholders can enjoy perks such as:

• Free Spotify, Netflix, and Amazon Prime subscriptions (but mostly only for 6 months now)

• Airport Lounge access (Not that you ever use this)

• Travel perks and discounts (Yeah exists, but mostly you can find the deals cheaper elsewhere)

• Much higher staking (basically interest) rewards

• Higher cashback without maximum amounts per month

  
  

5. ATM Withdrawals

The Crypto.com Card allows free ATM withdrawals up to a certain limit based on the card tier. However, exceeding this limit results in a small fee. --> Just use your normal card.

Pros and Cons of the Crypto.com Card

✅ Pros:

✔️ Attractive cashback rewards – Earn up to 5% back in CRO. -> Royal Indigo = 2% with maximum of 50 euro per month (first year a bit higher)

✔️ No hidden fees – No monthly or annual fees.

✔️ Multiple card tiers – Options for every budget and staking level. (But higher ones are not worth the risk)

✔️ Crypto-friendly spending – Easily convert and spend crypto.

✔️ Subscription rebates – Free Spotify, Netflix, and more with higher-tier cards. (for the first months)

❌ Cons:

❌ Staking requirement – Higher rewards require a large CRO stake. (The higher stake the lower the liquidity and higher the risk)

❌ Volatility of CRO – Rewards are in CRO, which can fluctuate in value. (For example my staked CRO I bought for 3.500 EUR when CRO was around 0,30 EUR, which is now worth around 1.500 EUR)

❌ ATM withdrawal limits – Free withdrawals are capped per month. (Not really a con, because who is still using cash, especially drawing it from a Crypto card??)

Risks of Using the Crypto.com Card

1. Market Volatility

The value of CRO tokens fluctuates, meaning cashback rewards can increase or decrease based on the crypto market. This happens a lot and it is mainly based on the overall market, but also strongly connected to the company of Crypto.com. Even thought from all the years of cashbacks, earn and staking we still have thousands of profit. We still lost money on the upgrade to the higher card.

2. Regulatory Risks

Cryptocurrency regulations are constantly evolving. Some regions may restrict or even ban certain crypto services, which could affect card usability. Which is also happening at this moment. The European Union is setting from extra rules on trading certain coins on the platform. Which is not really hurting most of the people, but it is something to consider.

3. Security Concerns

Although Crypto.com implements high-security standards, using any crypto-backed financial product carries risks, such as hacking or platform security breaches. But most of the platforms completely cover the damages, just like Crypto.com needed to do one time, although we personally we never affected.

4. Lock-in Periods for CRO Staking

To enjoy the best rewards, users must stake CRO for a fixed period. If the market drops, your staked CRO could lose value before you can unstake it. So this is strongly connected to the market volatility. The card and staking of the CRO's you don't really do for the short term.

Is the Crypto.com Card Worth It?

If you want something new, something fun, something a bit scary, with a bit of risk, but also chances of earning some money on the side, while be able to tell friends and family about the cashbacks you are racking in, then the Crypto.com Card is a great option for you. However, the need to stake CRO and the risks of market volatility mean it's best suited for those who are comfortable with crypto investments.

But if you prefer stability and less exposure to crypto price swings, a traditional cashback credit card might be a better fit.

Not only we have a Crypto.com card but also the parents, who don't invest in crypto's at all (and convert all cashback directly back to the debetcard) and they love the card, because it gives the small benefits which makes it a small game (but have to admit we covered their staking, but we believe in it, and it was too scary for them to do it themselves)

Final Thoughts

The Crypto.com Card is for us the best crypto-backed payment solutions available today. With great rewards, it’s an excellent way to integrate crypto into everyday purchases. However you should be aware of the risks and only do it when you have some experience with crypto and experienced the highs and lows of the market.

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Do you own a Crypto.com Card, or are you considering getting one? Share your thoughts in the comments below!