Kraken announced its new payment card integrated into the cryptocurrency ecosystem, allowing users to use their digital and fiat balances for everyday purchases. The card operates on the Mastercard network, with acceptance in more than 200 countries and territories, expanding the global reach for crypto payments.
According to information released by the company, users can fund the card using any balance available in their accounts, with support for more than 600 currencies at the time of conversion during a transaction. This allows different cryptocurrencies to be used automatically at the time of purchase, without the need for prior manual exchange.
The Kraken card's rewards system includes weekly cashback, which can be received in Bitcoin, euros, or British pounds. The exchange also stated that there are no transaction fees or ATM withdrawal fees, which positions the product as a direct alternative to traditional cards.
However, the maximum cashback rate of 2% is not automatically available to all users. The program is divided into four tiers, based on the 30-day moving average of combined balances in Kraken, Kraken Pro, and Krak accounts.
The entry-level tier, called Light, requires €200 in balance and offers 0,5% in returns. The Pro tier, with €1.000, guarantees 1%. The Elite tier, with €10.000, raises cashback to 1,5%, while the Max tier, with €50.000, unlocks the advertised 2%. New users automatically start at the highest tier for 30 days before being adjusted according to their balances.
Another relevant feature is the customization of asset usage. Customers can define which cryptocurrencies will be used in purchases through a spending queue. Specific tokens can be disabled, preventing their automatic use. In addition, a single transaction can combine different balances simultaneously.
Card management is handled through the Krak app, an independent platform from Kraken that centralizes transaction history, cashback settings, and physical card requests. The card is also available in a virtual version, compatible with Apple Pay and Google Pay.
Kamo Asatryan, Global Head of Consumer at Kraken and Chief AI and Data Officer at Payward, highlighted the product's proposal. "People shouldn’t have to worry about where their money is before they spend it," he said in the blog post. "The Kraken Card adds 'spending' to that list."
