Decentralized finance company (DeFi) 1inch Network has debuted a new debit card with a function that bridges the gap between cryptocurrency and fiat. The new card was developed in partnership with Mastercard and Baanx.
According to a post on the 1inch blog, the new debit cards will feature full functionality, including a physical card with the account number, expiration date and "CVC" security code needed for certain transactions. It will also have a virtual card function, allowing users to conduct transactions digitally, if supported.
Christian Rau, senior vice president of cryptocurrency and fintech services at Mastercard, said in a statement that the new card is a necessary bridge between the Web3 and Web2 worlds.
Although the most popular cryptocurrency exchanges and Web3 exchanges have robust features for converting fiat to cryptocurrencies and vice versa, such conversion adds extra steps to the payment process. This can slow down transactions, increase security risks and add additional fees to the process.
The advent of crypto-fiat debit purchases allows users to keep custody of their cryptocurrencies and Web3 funds with one conversion factor to consider at the time of purchase.
For now, the cards are only available in the UK and European economic areas. However, according to 1inch, the company is looking to expand the program.
