In a first for the credit card company, American Express has launching a card that rewards users with cryptocurrency instead of traditional rewards.
Cryptocurrency and blockchain tech are in the process of revolutionizing a range of industries, although none as much as the finance market. JPMorgan has started using blockchain for collateral settlements, Mastercard has partnered with Bakkt to support crypto, and now American Express is getting in on the action with its own crypto rewards credit card, in partnership with Abra.
According to TechCrunch, the company has not revealed what cryptocurrencies will be supported, but Abra founder and CEO Bill Barhydt told the outlet that customers will eventually be able to choose from multiple different cryptocurrencies.
American Express customers wanting to take advantage of the crypto rewards will need to be registered with Abra, where they will be able to use the company’s exchange to swap rewards for a variety of cryptocurrencies.
“Eventually, we’re also working on a solution that will allow you to use your existing crypto balance to affect your credit line, which is something we’ll probably launch in the future. I think that’s a big benefit because a lot of crypto holders are kind of penalized when it comes to banking and credit,” Barhydt said.
The new card is expected launch in the latter part of 2022.
