In the past one year cryptocurrency debit cards have gained traction in an enormous way and a variety of exchanges have launched cards that allow you to pay using crypto or give you crypto rewards.
Then Binance is the largest crypto exchange, is joining the crypto market. But is its brand-new Binance Card the crypto gateway it claims to be? We tested it by putting it to the test.
What is the Binance Card?
It is the Binance Card is not surprising, given that it is a crypto debit card created by Binance. was announced in March of last year after the company’s merger of the crypto debit card firm Swipe the Binance Card was released in selected European countries in September 2020.
The card accepts payments using bitcoin (BTC), Binance Coin (BNB), Ethereum (ETH), Swipe’s SXP token, as well as its own stablecoin Binance USD (BUSD).
Crypto assets are converted to fiat currency instantly during the transaction. Additionally, you can top with your Binance fiat account with the default currency of your choice and then withdrawing funds from it.
As an Visa debit card The Binance Card can be used at more than 60 million retailers in over 200 countries and regions across the globe.
The announcement was made on the Binance Chief Executive Officer Changpeng Zhao, more commonly called CZ declared CZ stated that “Giving users the ability to convert and spend their crypto directly with merchants around the world, will make the crypto experience more seamless and applicable.”
It all is logical, doesn’t it? A stylish card from an exchange that is top-rated, bringing crypto to everyone with ease — what’s not be in love with?
We took a look in to the Binance Card to see what it is, and what it can bring into the equation. Find out more in our report…
How simple can it be to apply?
To apply to the Binance Card starts by requesting one online through the Binance website. As of the writing time this article, this Binance card is supported in a handful of European countries, which includes Austria, Belgium, Ireland, Malta, Slovenia, and many more (the complete list is available on this page). The crypto enthusiasts of the UK that were previously included on the list of supported countries can now pre-order the card however they’re currently not in the officially-approved list, possibly because of the tangled issue of Brexit. We’ve reached out Binance to confirm this and will update this post in line with their response.
If you don’t yet have an account with a Binance account, you’ll need to make one first. It is as simple as providing your email address as well as your personal information. However, it’s important to note that you are only able to apply for a card from Binance in the event that your account has been KYC Level 2 certified.
In short, Know Your Customer/Client, KYC is a procedure employed in financial services to confirm the identity of people. Also, it assists Binance to prove that you’re the person you claim to be.
To attain KYC stage 2 for Binance you’ll have to submit a proof of acceptable ID, like driver’s license or passport as well as evidence of address verification, like a utility bill. It might be intimidating to newcomers to crypto, but be sure that it’s completely normal especially for an exchange with as much respect as Binance.
Uploading these documents is possible by hovering over the profile button at the top of the right and then selecting “Identification”. After that it is important to make sure that you have clear pictures of the ID you’ve selected along with one of those passport-style photos of yourself. Also, you must ensure you can verify that your address in the utility statement or other form of documentation is the same address as that you input in the online form. Although the time required to verify the ID of yours and its address may vary We were delighted to find that the two fields had been confirmed in under an hour.
If you’ve achieved KYC stage 2. You can purchase your card by visiting this page by clicking You guessed it, Order Card. Follow the on-screen instructions to complete your order and, if successful you’ll receive an electronic card right away however the physical card will be delivered in the near future. As of the writing time we don’t know what time you’ll need to wait for the physical card, due to the huge demand.
If you receive your card, head into the Card Wallet section of Binance and press the activate button. In this section, you’ll need enter the CVV number that is on the back of your physical card. Your four-digit pin number will be displayed. If you do not activate your account within the first 45 days of the purchase, it will stop working.
Design
The Binance Card’s design is muted, but tasteful. Image: Binance
We’d like to claim we’re saying that it’s true that the Binance Card is crafted from exotic materials such as meteorite or titanium, we’re facing the identical type of card you’ve had for years, only one that’s flat (as as opposed to embossed) characters, likely for durability.
There’s no way to personalize the card, or even stamp any of your personal style on it this is not a good thing for fans of memes. For the rest of us there’s nothing to be unhappy about. The monochrome black and silver palette has a touch of sophistication and is accompanied by only a few lines of text and the minuscule Binance logo to grab the attention. Should Darth Vader had a debit card, it’d look like this.
Setting up the Binance Card
After you’ve set up your physical or virtual card installed and ready to use You’ll need to familiarize yourself with the way the card operates. One of the most important things to be aware of is that your card won’t instantly pull money from your Binance cryptocurrency holdings balance.
In order to use the card you’ll have to transfer funds out of the Spot Wallet (the default Binance wallet, which holds your funds and lets you withdraw and deposit funds) and then to your own Card Wallet. You may transfer fiat as well as other crypto into the Card Wallet, and select the sequence in which the funds will be deducted first. If you’ve indicated BNB and Euros BNB as your two most important accounts, for instance that the card will deduct your Euro balance, and then transfer to BNB when the Euros have been fully utilized.
It is important to remember that the Card Wallet is best thought of as a storage space for your assets to be stored. Moving funds around could seem like a redundant option for some, but it allows you to limit the amount stored on the card in the event of it being damaged or taken. The ability to decide the order in which funds are used is a nice feature.
After you’ve got the Card Wallet in order, you’re able to spend it wherever on the internet or in person that accepts Visa. Make sure that you’ve taken the time to replenish it up with funds from your Binance Card Wallet with funds from your primary Binance wallet, or else your transaction will be rejected and you’ll end up explaining the situation to a horribly confused cashier in the grocery store. To avoid the hassle there’s an easy option of enabling automatic top-up. This involves setting a minimum balance which is constantly replenished without needing to think about it.
It’s also important to note the fact that Google Pay and Samsung Pay users can setup the card they want to use by entering the card’s details using the app of their choice that allows them to use contactless NFC payments using Binance funds , up to specified limits.
Fees and perks
One of the major benefits for one of the main benefits offered by Binance Card is its cashback system, which can reward the account up to 8percent cashback on eligible purchases. The cashback is paid in BNB and the amount that you get depends on the amount of BNB you currently hold on Binance. The cashback payout breakdown is as follows:Table of cashback for Binance.Â
You’ll be able to view your cashback transactions within the cashback vault. All of which will have in one of three states: Pending, which means that they’re still being calculated but haven’t been placed in your account or Completed, which signifies that they’ve been sent into your Spot Wallet and finally, Declined which means that the transaction is not suitable for cashback.
The cashback itself is credited on a monthly basis however, some competitors provide weekly rewards. It’s important to remember that the percentage of cashback is calculated on your average balances with BNB in the last month. This is a disappointment, since it basically means you’ll need to hold BNB for a month in order to earn higher rewards. In a positive way in addition to the initial fee of $15 for the card, there are no additional charges for annual or monthly maintenance of the card and this is a great reward.
Regarding the limits of the card the virtual card is currently able to use an annual limit for spending of EUR 870. This is in contrast to an even higher limit of EUR 8700 on the physical card. Daily ATM limit is set at EUR 290. Additional charges for reissuing the physical card as well as transaction charges are listed below:Table of fees for Binance. Image: Binance
Does Binance Card worthwhile?
To earn the total cashback of 8% on purchases, you’ll need at least 6 000 BNB stored in Binance Wallet. As of the date of this writing, that’s less than $250,000 worth of BNB. Card level 2 allows cashback at 2%, requires an amount that is more manageable, which is 10 BNB or about $420.
These aren’t the most welcoming amounts for those who are just beginning to dip their toes into the world of crypto for the the first time. However, there’s an 1% cashback minimum opportunity for those who want to profit from the card without spending hundreds of dollars to BNB.
What’s frustrating is that cashback rewards are dependent on BNB that means that someone who has thousands of dollars worth of BTC For instance isn’t eligible for any cashback.
If you’re a hugely invested customer and determined to BNB and its rewards, then they seem to be worth it. It may sound a bit odd however, it’s the fundamental idea behind a cryptocurrency debit card that is linked in exchange.
Verdict
There’s a strong argument to be made that the Binance Card doesn’t really need to be present. This isn’t meant in a negative way. It’s at the very least, a smooth card that is integrated with the world’s largest crypto exchange and allows you to access your account online and in real life and make the blockchain more real and practical for everyday use.
The issue is that you’re not actually paying for items using cryptocurrency. Your crypto holdings are converted into fiat, which means that in the eyes of the seller concerns, it’s an ordinary person paying real money. This isn’t in line with the very ethos behind becoming a cryptocurrency enthusiast do you not think?
The ultimate goal, of course is that crypto will be accepted by retailers and stores on a fundamental level without the middleman messing up the pure nature of it. This is a problem of adoption that even the massive exchange Binance can fix and the card should at a minimum be praised for trying to find an intermediate state as well as boosting awareness of the possibilities that crypto can bring.
However, we’d recommend it to hardcore BNB customers who want to fill their wallets with cashback reward. However, it’s not a bad idea to get the one you want, particularly because of the low monthly charges. In the end, one of the biggest benefits of crypto is trying out new concepts and expanding the boundaries. Perhaps , cards like this can be a crucial step towards real widespread adoption.
