CryptoSpend, a cryptocurrency startup born in Australia, has been approved by Visa to start issuing a new debit card for users to perform transactions using Bitcoin and other cryptocurrencies.
With cryptocurrency’s popularity on the rise, using their digital currency easily has become an increasing demand from crypto holders.
While multiple debit cards allow doing this, CryptoSpend’s card would be one of the few that don’t require prior conversion from crypto to fiat.
CryptoSpend co-founder Andrew Grech referred to the flexibility that its startup’s debit card will provide crypto investors by stating,
“Spending it directly is a more convenient way of selling it. If the market is green, someone could say it’s time to spend some of my profits. On the other side of the fence, another person might say it’s going to keep going up, I’ll hold onto it. But we have seen more spending volume when the price is going up.”
CryptoSpend was founded by Grench and Richard Voice after they met at the University of Technology Sydney three years ago, deciding to launch the startup and going through VIsa’s rigorous process soon after.
The Financial giant required the startup to ensure the privacy and security of user information, as well as to comply with anti-money laundering requirements. While Visa hasn’t made the announcement yet, it is expected for it to do so later this week.
Having raised A$530K (about $400K) in its preseed and seed funding rounds, CryptoSpend has partnered with ASX-listed Novatti to issue the debit card by September of this year.
All custody of the cryptocurrency will be in the hands of BitGo, a licensed custodian in New York that will allow the use of cryptocurrencies like XRP, Bitcoin Cash, and Ethereum.
While Visa has already authorized companies like Binance to issue cryptocurrency debit cards, the cryptocurrency startup is the first one to be approved to offer such a service in Australia along with cryptocurrency platform Crypto.com.