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Erdogan Suggests Turkish-Russian Payment System, Local Media Reports

Erdogan Suggests Turkish-Russian Payment System, Local Media ReportsTurkish President Recep Tayyip Erdogan is reportedly pushing for Turkey and Russia to establish a new payment system between them. The initiative comes amid U.S. pressure against the use of the Russian Mir cards in Turkey. Some Turkish banks have been working with them to facilitate payments by Russian tourists visiting the country. President Erdogan […]

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The Card Battle Heats Up in Latam, as Ripio and Bitso Both Announce Crypto-Enabled Cards

The Card Battle Heats Up in Latam, as Ripio and Bitso Both Announce Crypto-Enabled CardsCryptocurrency debit and credit card offerings in Latam are thriving, as two exchanges in the area are planning to launch their crypto-enabled cards. Ripio, the Argentina-based exchange, and Bitso, a Mexican exchange, both announced the future launch of their cards, in partnership with Visa and Mastercard respectively, as an answer to the rise of the […]

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Binance and Mastercard will launch prepaid crypto cards in Argentina

"Payments is one of the first and most obvious use cases for crypto, yet adoption has a lot of room to grow,” said Maximiliano Hinz.

Major crypto exchange Binance has partnered with Mastercard to launch a prepaid card for the residents of Argentina.

In a Thursday announcement, Binance said the card will allow its clients in Argentina to use Bitcoin (BTC), BNB and other cryptocurrencies to make purchases as well as ATM withdrawals in fiat wherever Mastercard is accepted — roughly 90 million merchants globally and online. Argentine cardholders can also earn up to 8% back in cryptocurrency from certain purchases.

According to Binance, the introduction of the card — expected to be “widely available in the coming weeks” — was part of the company’s efforts to further the global adoption of crypto. Residents of Argentina will be the first in the region to have access to the cards, but the crypto exchange announced a similar initiative for Binance users in Ukraine in April and for the European Economic Area in 2020.

"Payments is one of the first and most obvious use cases for crypto, yet adoption has a lot of room to grow,” said Maximiliano Hinz, general director of Binance in Latin America. “By using the Binance Card, merchants continue to receive fiat and the users pay in cryptocurrency they choose.”

The card requires Argentines to have a valid national identity card or documento nacional de identidad. Similar requirements are already in place for credit cards issued by local crypto exchanges. In 2021, Lemon Card launched a card with Visa offering 2% back in BTC for Argentine users while Buenbit and Belo both partnered with Mastercard to release a prepaid card and a crypto rewards card, respectively.

Related: Argentina carries out crypto wallet seizures linked to tax delinquents

Despite the recent market downturn, reports suggest that many Argentines may still be turning to crypto. According to an Americas Market Intelligence report from April, researchers found that “crypto penetration” in Argentina had reached 12% — roughly double that of Peru and Mexico.

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Credit Cards Should Not Be Used for Crypto Transactions, Taiwan’s Financial Watchdog Says

Credit Cards Should Not Be Used for Crypto Transactions, Taiwan’s Financial Watchdog SaysThe financial regulator of Taiwan has asked local banks not to allow the use of cards for payments in transactions involving cryptocurrencies, local media revealed. The authority says these assets are risky while associated cash flows are hard to monitor. Taiwanese Regulator Urges Banks Not to Allow Crypto-Related Payments With Bank Cards Taiwan’s Financial Supervisory […]

$62 Million Munchables Hack: Rogue Developer Returns All Funds, No Ransom Demanded

Buying crypto with credit card is now indirectly banned in Taiwan

In its note to banking sector, a chief financial regulator likens virtual assets to online gambling.

Taiwan’s Financial Supervisory Commission (FSC), a chief financial regulator, issued a note to the banking industry, indicating that they should not grant the virtual assets providers (VASPs) the status of merchant in operations with credit card holders. That means a de-facto ban on buying crypto with a credit card on the island. 

As the local media reported on Thursday, July 21, The Financial Supervisory Commission sent a letter to the Association of Banks in early July, reminding the members of the Association of Banks that virtual assets are highly speculative and risky, and the cash flow is complex and challenging to monitor transactions effectively.

The regulator has also specified that credit cards are essentially consumer payment tools, not investment and wealth management or payment tools with high speculative, high risk and high financial leverage transactions. It referred to the longstanding tradition of preserving credit card holders from paying for online gambling, stocks, futures and options, among other things.

The FSC requires banks to adjust to the new guidelines within 3 months. After that, the audit unit must review its internal compliance and report the results to the regulator.

It is not the first time FSC has taken action or voiced its skepticism about crypto. Last year, the regulator issued several press releases to remind the public of related risks associated with virtual assets.

Related: Shanghai included blockchain, NFTs and Web3 in its 5-year plan

In July 2021, Taiwan enacted the renewed anti-money laundering (AML) requirements for cryptocurrency exchanges, based on the Financial Action Task Force’s recommendation.

At the end of June governor of the Central Bank of the Republic of China (Taiwan), recommended a no-interest design for the country's central bank digital currency (CBDC) pilot. Taiwan is currently in the second stage of its CBDC pilot program, where its central bank provides the CBDC to five selected Taiwanese banks for distribution among consumers.

$62 Million Munchables Hack: Rogue Developer Returns All Funds, No Ransom Demanded

ECB exclusive: Crypto payments ‘not currently cost effective,’ Amex exec says

The American Express executive said that their firm is bullish on crypto and is actively working to incorporate more crypto-related services in the future.

Gonzalo Pérez del Arco, the director of government affairs in South Europe for card payment giant American Express, believes that making payments with crypto is not cost-effective at present.

Pérez’s comments came during an exclusive chat with Cointelegraph editor Aaron Wood at European Blockchain Convention 2022, where he discussed American Express’ current crypto-related plans and future prospects.

Pérez explained that several factors make crypto payments non-feasible in the current market, such as high transaction costs and the willingness of merchants to accept digital payments. However, he noted that crypto payments could become a reality in the future, and his firm is bullish on working in that direction.

He added that the firm is interested in crypto payments "Because it's the right direction that competitors in the market are taking."

Pérez noted that American Express has been betting big on crypto with investments and developments of several crypto use cases through its venture capital arm Amex Ventures. He cited the example of the recently launched crypto reward card in association with Abra, a crypto-focused financial firm.

Related: Amex CEO hints at exploring ways to allow credit card holders to redeem points for crypto

He said that the decision to launch a crypto reward card program instead of delving directly into crypto payments was because of the low risks involved. He cited the upcoming MICA regulations in Europe that prohibit the tokenization of rewards as one of the key reasons that influenced their decision:

“If you see the MICA regulation that is about to be published in Europe where tokenization of rewards logic program is something that is already contemplated. Membership rewards are something relatively easy to do and low risk compared to other activities in payments that, involve the crypto.”

While American Express is taking cautionary steps in its crypto-approach, other card payment giants such as Mastercard and Visa have been on an expansion spree into nonfungible tokens (NFTs) and Web3.

Visa has been actively working on integrating crypto payment with its network, allowing millions of customers to directly spend their crypto at thousands of merchants across the world. The payment processor giant reported $1 billion in crypto spending in the first quarter of 2021. The firm recently launched an immersion program to help creators build their business with NFTs.

Mastercard on the other hand has moved beyond crypto payments and recently announced a direct NFT purchase option for 2.9 billion cardholders.

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Two credit card firms in Israel to let cardholders buy Bitcoin

Two Israel-based credit card companies, Max and Isracard, have started working on Bitcoin investment and cashback solutions via a credit card.

Financial companies in Israel are increasingly moving into cryptocurrencies like Bitcoin (BTC), with two competing credit card firms working on BTC investment and cashback features.

Two Israel-based credit card companies, Max and Isracard, have inked partnerships with crypto-related platforms in order to allow cardholders to purchase Bitcoin, the local news agency Calcalist reported on May 17.

Max announced collaboration with the local crypto broker Bits of Gold to launch a crypto-enabled card called MaxBack Crypto. According to Max's official website, the card will offer cash back opportunities in BTC as well as the option to buy Bitcoin through a clearing agreement Bits of Gold.

Formerly known as Leumi Card, Max is one of the largest credit card processors and issuers in Israel and a major non-banking financial institution. The firm reportedly issued 1.6 million credit cards and provides clearing services to more than 40,000 merchants.

Max’s competitor, Isracard Group, is one of the biggest credit card companies in Israel, offering credit clearing services to four major credit card brands including American Express, MasterCard, Visa and Isracard.

Isracard is also not missing out on crypto, reportedly announcing a partnership with Israel’s major investment company Altshuler Shaham on May 17 as well.

Isracard specifically partnered with Altshuler’s crypto-focused subsidiary Altshuler Shaham Horizon to allow Isracard holders to purchase Bitcoin directly via its credit card.

As previously reported, Altshuler Shaham has expressed interest in Bitcoin investment before, with the firm investing $100 million into the Grayscale Bitcoin Trust in 2020.

Related: Top Israeli bank to accept BTC and ETH trading through Paxos' collaboration

“As the leading crypto company in the country, we are proud to launch this innovative collaboration, which will allow the general public to join the digital currency arena,” Horizon CEO Ilan Stark said. “If in the past this field belonged to the exotic part of the capital market, today we see more and more interest from investors and customers,” the exec added.

$62 Million Munchables Hack: Rogue Developer Returns All Funds, No Ransom Demanded

Gemini crypto exchange launches credit card in United States

Users can get their cashback reward in over 60 different cryptocurrencies supported by Gemini.

Gemini, a major cryptocurrency exchange founded by the Winklevoss twins, has launched its crypto credit card.

The company officially announced Thursday that its Gemini Credit Card is available in the United States across all 50 states.

The new card is issued by the state-chartered industrial bank WebBank and features Mastercard as the exclusive card network.

The card’s rollout comes more than a year after Gemini initially announced the project in 2021, aiming to reward users for using crypto for everyday transactions. Since launching the Gemini Credit Card waitlist last year, more than 500,000 users have signed up for the product, the firm said.

The Gemini Credit Card supports more than 60 cryptocurrencies for rewards, including Bitcoin (BTC), Ether (ETH), Dogecoin (DOGE) and others. Cardholders are able to earn up to 3% crypto back on dining, 2% on groceries, and 1% on all other purchases.

When a cardholder makes a purchase, Gemini automatically converts the United States dollar-denominated value of the reward into the selected digital asset and deposits it into the cardholder’s Gemini account. Cardholders can change their selected crypto reward as often as they wish, which enables customers to earn not just one cryptocurrency.

Mastercard’s executive VP of digital partnerships Sherri Haymond noted that the payment company shares Gemini’s belief that providing relevant crypto rewards experiences will “not only empower consumers, but also unlock access to the digital currencies ecosystem.” 

Gemini chief technology officer Pravjit Tiwana said that the new credit card reaffirms the company’s commitment to remove barriers of entry for consumers who want to get into cryptocurrencies like Bitcoin. Tiwana mentioned that the crypto industry had a breakout moment in 2021, with 44% of crypto owners in the U.S. reported making their first crypto purchases last year.

Related: New crypto card by Nexo allows users to pay without selling Bitcoin

As previously reported by Cointelegraph, the concept of crypto cashback cards has been taking off recently, with companies like BlockFi and Venmo launching crypto reward cards last year. According to the crypto loan startup BlockFi, Bitcoin rewards were responsible for some extent of the shopping frenzy for cardholders last year, with cardholders earning more than 124 BTC in rewards collectively just in the first three months since the cashback program’s launch.

$62 Million Munchables Hack: Rogue Developer Returns All Funds, No Ransom Demanded

New crypto card by Nexo allows users to pay without selling Bitcoin

Nexo has officially launched its cryptocurrency credit card in collaboration with Mastercard after announcing the project back in 2019.

Major cryptocurrency loan company Nexo has officially launched a crypto-backed Mastercard card enabling users to pay for services with cryptocurrencies like Bitcoin (BTC) without selling their crypto.

Nexo has partnered with Mastercard and the peer-to-peer payment startup DiPocket to launch the Nexo Card, a crypto card allowing cardholders to use their crypto as collateral rather than selling it, the firm announced to Cointelegraph on Wednesday.

The card is linked to a Nexo-provided, crypto-backed credit line allowing to use of multiple assets as collateral, including but not limited to Bitcoin, Ether (ETH) and the Tether (USDT) stablecoin.

"The Nexo Card functions through Nexo’s crypto-backed credit lines which means that funds for your purchases come from your available credit line while your digital asset portfolio remains intact," a spokesperson for Nexo told Cointelegraph. The collateral is subject to repayments in accordance with Nexo's terms and conditions, the representative noted.

According to the firm, the Nexo Card’s credit line starts and stays at the 0% annual percentage rate and the product is the first-of-its-kind crypto-backed Mastercard card. The card also requires no minimum repayments and doesn’t take foreign exchange fees for up to 20,000 euros ($21,700). Like traditional Mastercard cards, the Nexo Card is available both in virtual and physical form and comes with direct Apple Pay and Google Pay integrations.

Nexo anticipates the Nexo Card to be accepted by 92 million merchants worldwide where Mastercard is accepted, allowing investors to spend up to 90% of the fiat value of their crypto in seconds without selling any of it, the announcement notes.

The card is immediately available in “select European markets,” Nexo said. According to the company’s website, the Nexo card is available only for residents of 29 countries including Belgium, Cyprus, Czech Republic, Finland, France, Germany, the United Kingdom and others.

Nexo co-founder and managing partner Antoni Trenchev emphasized that the new product launch is crucial for the synergy between the existing financial network and digital assets.

“This unique product will allow millions of people, first in Europe and then worldwide, to spend instantly without having to give up the potential of their cryptocurrencies, thus offering unprecedented everyday utility for the emerging asset class,” he noted.

Mastercard’s head of crypto and blockchain products, Raj Dhamodharan, reiterated the company’s focus on the cryptocurrency industry, stating:

“Mastercard believes that digital assets are revolutionizing the financial landscape and we are leading in innovation with programs like our partnership with Nexo to deliver people new and one-of-a-kind choices in how they pay and activate their crypto holdings.”

Related: Mastercard expands consulting with crypto-dedicated practices with 500 new hires

As previously reported, Nexo first started working on a MasterCard-branded crypto collateral-based card back in August 2019. The company completed a partial roll-out of the Nexo Card in select European countries earlier this year. The company inked a major partnership with Fidelity Investments’ crypto arm Fidelity Digital Assets last year to collaborate on crypto custodial services, products and lending services for institutional investors.

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NFT Marketplace Opensea to Add Credit Card, Apple Pay Support via Moonpay

NFT Marketplace Opensea to Add Credit Card, Apple Pay Support via MoonpayAccording to the firm Moonpay, the non-fungible token (NFT) marketplace Opensea plans to accept credit card payments using the company’s payment infrastructure. The move follows Opensea gathering $23.5 billion in all-time sales volume, and the company’s recent Solana support announcement. Moonpay Reveals Opensea Users Will Soon be Able to Pay for NFTs With a Credit […]

$62 Million Munchables Hack: Rogue Developer Returns All Funds, No Ransom Demanded