American Express announces the first Crypto Rewards credit card on its network
American Express will soon launch the first crypto rewards credit card on its network.
Announced today at the Consensus Cryptocurrency Conference in Austin, TX, the card, developed in partnership with crypto wealth manager Abra, will transact in US dollars and offer cryptocurrency on any category and purchase amount. The rollout is expected later this year.
According to Abra CEO Bill Barhydt, who spoke with Forbes prior to the announcement, the crypto rewards will be redeemable in over 100 different cryptocurrencies supported by Abra with no annual or foreign transaction fees. In addition, the card will offer several benefits from the American Express network, including offers for shopping, travel, dining and Amex purchase protections.
“We are excited to combine the strength of our payment network with Abra’s innovation and crypto expertise. This is a credit card for crypto explorers and enthusiasts,” said said Mohammed Badi, president of Global Network Services at American Express.
Although it is the first for American Express, the Abra crypto card is only the latest in a series of products offered by cryptocurrency companies on major payment networks, such as the Gemini crypto card, which offers rewards in the form of bitcoin and over 60 other cryptocurrencies, and BlockFi rewards Visa card.
Abra received its first check from American Express in 2015. Other notable investors include Digital Currency Group, Pantera Capital, and the Stellar Development Foundation. Today, the self-proclaimed “crypto bank” and Forbes’ The Next Trillion-Dollar Startups 2021 list member has over 2 million customers. The Mountain View, Calif.-based company claims to have processed over $2 billion in crypto loans to retail and institutional clients.
The new joint initiative “represents another step towards Abra’s goal of eventually offering an instant line of credit directly at the point of sale,” Barhydt said. “It’s the future of payments.”
Today, the company also announced a new feature to buy and sell NFTs with managed custody in the Abra app. Rather than funding DeFi wallets and moving between different app interfaces to buy and sell NFTs on marketplaces like OpenSea, users will be able to buy and sell digital collectibles directly from the platform. Abra, Barhydt explained.
In April, the company announced the launch of a capital management arm with five funds exposed to bitcoin, ether and other cryptocurrencies available to accredited investors willing to invest at least $250,000. .