- BlockFi has released the designs for its new Bitcoin cash back credit card
- You can get 1.5% Bitcoin cash back when using the BlockFi credit card
- With a price tag of $200 per year, you’d need to spend a lot to get your money back in Bitcoin cash back
As more and more companies start launching their own Bitcoin debit cards, BlockFi has decided to go for a world first and launch a credit card. You’ll be able to spend money you don’t even have yet to get your hands on sweet Bitcoin thanks to its 1.5% cash back in Bitcoin.
But, once you boil everything down, it really is quite “meh” and there are a lot of factors that still haven’t been released yet. Hopefully the card’s interest rate can be a major redeeming feature, but as with all novelty credit cards, such as the Amazon credit card, the interest rate is seldom below 15%.
A Really Sleek and Elegant Card
Credit where credit’s due, BlockFi’s new Bitcoin cash back credit card is a really gorgeous piece of metal. That’s right, the BlockFi credit card is made of metal and comes featuring the Bitcoin logo right on the front. The card number on the reverse of the card is laid out in a really unique way, resembling a seed phrase – what a sweet touch.
If you spend $3,000 or more in the first three months of owning the card, you’ll get $250 in Bitcoin as a reward. This is pretty standard as far as credit cards go, with most high-quality cards offering a similar reward for spending $3,000 in the first three months.
That’s Where the Fun Ends
Unfortunately, that’s about where the fun ends, unless you just like the novelty of collecting Bitcoin automatically on every purchase. There’s an annual fee of $200, which is insanely steep for a cash back reward of 1.5%. To put that into perspective, you’d need to spend at least $13,333 to break even on the card, not taking any appreciation in Bitcoin’s value into account.
The Alliant Cash back Visa Signature credit card offers 2.5% cash back up to $10,000 and that card only costs $99 from the second year onwards. There are far better deals out there if you’re after the cash back. Other cards might not automatically accrue Bitcoin, but you can spend the rewards on Bitcoin.
Should I Get One?
For now, the BlockFi Bitcoin cash back credit card is only available in the US, but there are plans to roll it out around the globe. Until the APR is announced, you’re probably better off holding on to your current cards. This card is very much a novelty card and the $200 annual fee makes it a very hard sell.
There are much better reward programs for Bitcoin debit cards out there, especially if you’re in Europe – not to mention debit cards can’t land you in debt. If you’re not great with your money, or don’t think you’ll spend at least $13,333 on the card every year, stick to a debit card with Bitcoin rewards like Wirex.
