1 inch Launches Web3 Debit Card with MasterCard and Baanx
As cryptocurrency and decentralized finance (DeFi) evolve, their integration with traditional financial systems is accelerating. A recent example of this is the launch of the 1inch Card, a collaborative effort between decentralized exchange (DEX) aggregator 1inch Network, crypto card developer Baanx, and payments giant MasterCard. This innovative debit card is intended to bridge the gap between Web3 (the decentralized internet) and Web2 (the traditional internet) by allowing users to spend their crypto holdings in everyday transactions.
How Does the 1inch Card Work?
The 1inch Card functions similarly to a traditional debit card, but with a key difference- it uses cryptocurrency as the underlying source of funds. Here is a brief glimpse of its key features:
Crypto-to-Fiat Conversion- One of the biggest advantages of the 1inch Card is its built-in crypto-to-fiat conversion functionality. This means you can hold your crypto assets (like Bitcoin or Ethereum) and use them for online purchases, in-store transactions, or even withdraw cash at ATMs that support the Card. The conversion from crypto to fiat (government-issued currency) happens automatically at the point of purchase, eliminating the need for manual conversions and saving you time and transaction fees.
Physical and Virtual Card Options- For user convenience, the 1inch Card comes in both physical and virtual formats. The physical Card resembles a traditional debit card, complete with an account number, expiration date, and CVC code for secure online transactions. The virtual Card allows you to make online purchases directly from your smartphone or other digital device.
Security and Reliability- The 1inch Card leverages Mastercard’s industry-leading security standards and technology, ensuring a safe and reliable payment experience.
Benefits of the 1inch Card
The 1inch Card offers several advantages for users who want to spend their crypto holdings conveniently:
- Simplified transactions—The 1inch Card streamlines the spending process by eliminating the need for manual crypto conversions, making it faster and more user-friendly.
- Increased crypto utility- The Card allows users to leverage their crypto assets for everyday purchases, expanding the utility of their holdings beyond just investment purposes.
- Traditional payment system integration-The 1inch Card bridges the gap between Web3 and Web2 by allowing crypto users to participate in the traditional financial system with ease.
While the 1inch Card represents a significant step forward in crypto spending, it is currently only available in the United Kingdom and the European Economic Area. However, 1inch Network is actively working on expanding the program’s reach to other regions.
The Merging of Web3 and Web2- Industry Collaboration
The launch of the 1inch Card indicates a growing collaboration between established financial institutions and innovative Web3 companies. This collaboration can lead to a more integrated financial ecosystem that caters to both traditional and crypto-based users.
By offering a user-friendly and secure way to spend crypto assets, it has the potential to further mainstream crypto adoption. As the program expands globally and additional features are developed, the 1inch Card could become a vital tool for bridging the gap between Web3 and Web2, allowing users to integrate crypto into their everyday financial lives effortlessly.
https://cointelegraph.com/news/1inch-unveils-crypto-debit-card-web3-partnership-master-card-baanx
