Rewards credit cards typically earn cardholders cash back, points or airline miles for their spending — but a new product will soon offer rewards in the form of bitcoin, a cryptocurrency, for those willing to pay a hefty annual fee.
The new BlockFi Bitcoin Rewards credit card isn’t available yet, but you can join a waitlist for it as long as you have a funded account in the BlockFi app. You will need good or excellent credit (meaning, typically, FICO scores of 690 or higher) to be approved for the card, according to Zac Prince, founder and CEO of BlockFi.
BlockFi Bitcoin Rewards card: Key features
The card runs on the Visa network and comes with a $200 annual fee.
Cardholders will earn 1.5% cash back on their purchases, which will be converted into bitcoin and held in their BlockFi accounts.
The card, which has a black metal design, also comes with a sign-up bonus of $250 (in bitcoin), which cardholders will earn after spending $3,000 or more on the card in the first three months.
Given the fluctuations in the bitcoin market, the value of these rewards will go up and down.
As with more traditional rewards cards, the BlockFi Bitcoin Rewards card comes with a credit limit and interest rate (between 14.99% and 22.99% variable, as of this writing) on outstanding balances.
BlockFi — which has partnered with Visa, Evolve Bank and Deserve on this product — says cards will begin shipping to approved cardholders in the spring. Currently, only BlockFi account holders can join the waitlist, but in January, the general public will be able to join it, too. At least at first, the card will be available only in the U.S.
Card image courtesy of BlockFi