Bought-headquartered Mastercard has partnered with Lithuania-based cryptocurrency lender Nexo on what the companies are promoting as the world’s first payment card backed by digital assets.
According to a press release from the companies, the new card is linked to a crypto line of credit provided by Nexo that starts and stays at 0% APR. Cardholders can use their digital assets as collateral rather than selling them, and several assets can be used as collateral, including Bitcoin, Ethereum, and Tether.
The card will be rolled out in several European countries by DiPocket, Nexo’s card issuer; no date has been set for a US release.
“Mastercard believes digital assets are revolutionizing the financial landscape and we are at the forefront of innovation with programs like our partnership with Nexo to give people new and unique choices in how they pay for and activate their crypto holdings” , said Raj. Dhamodharan, Head of Crypto and Blockchain Products and Partnerships at Mastercard. “We are excited to continue innovating in payments by making digital assets more accessible across the ecosystem.”