A new breed of finance players is emerging into the crowded space of retail banking: the promoters of the Cool Bank Card. Their edge is not only the card with the ‘open’ banking smarts, but also a hedge that Money Over IP #MOIP will become mainstream. Thus, instead of just backing digitised money these disruptive e-wallet players give the consumer the opportunity to get comfortable with exploring “digital” money and the benefits associated with currency of the Web 3.0 era. Crucially, they bridge the gap between the old and new world in that they allow individuals to spend their digitised currency, (e.g. GBP, Euro) or digital (e.g. BTC, DAI), using a standard Visa card.
An example of benefits of Web 3 .0 money is the interest rates available on deposited currency. I’ve been a customer of Crypto.com for some time, and for the past couple of months I’ve been using one of their products. I deposited £1000 two month ago earning 10% interest on a digital dollar equivalent (DAI) (i.e. no volatility on the base currency) and I have earned circa £16 in two month, an attractive return and I will be using the earn feature again.
Pic 1: 10% (PA) Interest Paid on the Digital Dollar equivalent “DAI”
The Digital Bank: Product Bundling the way forward
Crypto.com have a fairly aggressive growth plan (Founded in 2016 and currently with 1 million customers) they plan to launch their Visa card in Europe (1st quarter 2020) which includes some great perks: 5% cash back (depending on package chosen, I have taken the 3% option), free lounge access, and they will pay my Netflix and Spotify monthly bills!!! (See, Pic 2 below). Let’s see how the digitised banks like Starlings, Monzo react to the new competitors and what additional services they start offering their loyal customers!! Whichever way it’s looked at things are going to improve for the consumer.
Pic 2: Visa Card Product Perks
Feel free to use my referral link to sign up to Crypto.com, we both get $50 USD when you deposit some money into your e-wallet if you use my link:)!!
Note: This is not financial advice but to win or lose you have to be in it.