The onset of crypto back in 2009, when Bitcoin was introduced to the world, peer to peer transactions in a decentralized manner has been all the rage. Soon the possibility of removing any third party from transactions was a massively adopted notion.
While newer coins, following the example of Bitcoin were created and were termed as altcoins catering to various other real world problems, Bitcoin stayed true to its being used as an asset. Almost a decade and a few years later, Bitcoin is now the asset that is being used by various exchanges to cater to crypto being used as a method to buy everyday goods.
Binance and Mastercard have joined hands and launched a prepaid rewards card in Argentina.
This makes Argentina the first country in the region to have the card! The aim of this launch is to help people spend crypto on everyday goods in a country where the native currency suffers from one of the world’s highest levels of inflation.
Binance, the world’s biggest crypto exchange by volume, announced on Thursday that the prepaid rewards card will let users buy things and pay bills with Bitcoin and other crypto assets. The announcement also mentioned, ‘The Binance Card issued by Credencial Payments will allow all new and existing Binance users in Argentina with a valid national ID to make purchases and pay bills with cryptocurrencies, including Bitcoin and BNB, at over 90 million Mastercard merchants worldwide, both in-store and online. Users can enjoy a seamless transaction in which their cryptocurrencies are converted to fiat currency in real-time at the point of purchase, as well as earn up to 8% in crypto cashback on eligible purchases and enjoy zero fees* on ATM withdrawals.
Binance cardholders will be able to manage their cards through the card dashboard on the Binance App and website. Users will also be able to view their transaction history and access customer support via the card dashboard.’
Binance’s announcement added that the prepaid card will enable converting the crypto users’ hold on its app into fiat currency, US dollars or Argentine pesos, whichever is needed by the holder, in real time at the point of sale. Users will also be able to get crypto cash back rewards of up to 8%.
— Binance (@binance) August 4, 2022
According to the Decrypt report, ‘Argentina will be the first country in Latin America to have the card, which is right now in beta mode and will be widely available in the coming weeks. The announcement added that users will not get charged on ATM withdrawals either.’
The crypto ecosystem is gaining traction in Argentina. According to the blockchain analysis firm Chainalysis, last year Argentina ranked among the top 10 countries that adopted crypto worldwide. Interesting fact, Bitcoin is not the only digital asset that is popular. Decrypt also mentioned that, ‘Stablecoins—crypto pegged to fiat currencies, like the U.S. dollar—are also finding a use case. Just last week, Argentinian football team Banfield received $6 million in USDC, the second biggest stablecoin by market cap, as payment for a player from Brazilian club Sao Paulo.’
How Binance Card Will help the Crypto Investors?
The new debit card from Binance will be able to help crypto traders get around the new measures in Argentina. According to a Decrypt reporting, the central bank said that those who have bought Bitcoin or any other digital asset in the past 90 days with pesos would not be able to access the single free exchange market and buy U.S. dollars at the official rate. As a solution, a crypto trader in Argentina could make use of their Binance account to gain access to U.S.-dollar equivalents in the form of USDC or USDT stablecoins and spend those funds with the new debit card. All of this will be possible for any users without the need for a bank account or access to the official exchange market.
Due to suffering one of the highest inflation rate right now; 64%; making everyday life difficult for Argentinians. Spending for goods get complicated as most the people use U.S. dollars and there are two exchange rates that are available, an official one and a black market one. In a situation like this, many are of the opinion that crypto may be a better bet for some.
Additional Read: Top Crypto Prices Today