THIS BLOG INCLUDE:
Are you looking for a BlockFi credit card review? We have got one for you here.
For the past several years, passive income has been a critical factor in the growth of the bitcoin market. Ethereum, the second-largest cryptocurrency by market capitalization, reached an all-time high this year because of staking cryptos for interest. For far more extended, blockchains have been powered by cryptocurrency mining, which also generates passive revenue. The idea it is based on is decades old, and the next era of passive cryptocurrency income is already here.
With the BlockFi Credit Card, customers may spend regular money while passively generating Bitcoin with each transaction. The card doesn’t have the best rate in the business. However, it may appear to be significantly superior to the competition to someone who is bullish about the growth of the largest cryptocurrency.
Let’s start with the BlockFi credit card review now.
What is BlockFi Credit Card?
We are going to start the BlockFi credit card review with its definition.
The BlockFi Credit card offers members 1.5 per cent cash back rewards on all purchases. It is a legitimate credit card. The main selling feature of the card for cryptocurrency users is that the cashback incentives are paid out in bitcoin. Since the significant purpose of these cards was to enable owners of crypto assets to swiftly spend the value assigned with their holdings everywhere Visa or Mastercard is accepted.
Practically all Visa and Mastercard card products related to cryptocurrencies up to this point were of the debit variety.
The idea behind the BlockFi Credit card is to function similarly to a standard credit card utilized in the conventional financial system while enabling customers to amass bitcoin through cashback benefits.
BlockFi Credit Card Review – Customer Service
Most users won’t likely need to approach customer care because BlockFi’s services are relatively straightforward. However, if a problem does occur, the organization offers several options for resolving it. The BlockFi Help Center should be your first port of call because it answers frequently asked questions, detailed explanations of many issues, and other helpful information.
The Help Center answers the majority of questions you could have regarding each service, but if you still need assistance, you can file a ticket. A customer care representative will review your access and provide whatever assistance they are able. If the key isn’t sufficient and you have a paid account with BlockFi, you may also call its phone support line, which is staffed from 9:30 am to 5 pm, Monday through Friday. Although BlockFi will likely be able to resolve your issue before this stage, having a backup plan is always a good idea.
BlockFi Credit Card Review – Crypto-Back Rewards
Users of the BlockFi credit card have access to various promos. After $30,000 in purchases, the base rate of 1.5 per cent increases to 2 per cent for the remainder of the year. On qualified trades made on the site, you can receive 0.25 per cent back in Bitcoin for a maximum of $500 every month. Cardholders should strive to use the Refer-a-Friend program to refer friends to the platform to earn an extra $30 in Bitcoin for each referral. The advantages of the credit card are much more significant if you already use BlockFi for interest-bearing accounts or loans with cryptocurrency collateral.
With thousands of partnering brands, BlockFi just introduced BlockFi Offer, allowing cardholders to now earn 10% back in cryptocurrency incentives.
BlockFi Credit Card Review – Other Services
The principal offering of BlockFi is their cryptocurrency interest-bearing account. You may deposit 13 different cryptos to earn interest, and creating an account is simple. The asset you deposit determines the interest rate. Up to $50,000 worth of stablecoins, including DAI, USDT, BUSD, and GUSD, receive 7.50 per cent interest. The supported cryptocurrencies with the highest volatility, such as Bitcoin, Ethereum, and Link, accrue between 3 and 4 per cent. For information on the exact tariffs for
BlockFi, see the platform’s analysis of each asset.
BlockFi offers a superb crypto-backed loan service that allows you to obtain loans in USD by pledging cryptos as security. This alternative can be quite helpful for people who require cash but don’t want to sell their cryptocurrencies and trigger a taxable event—the loan’s interest rate changes based on the current loan-to-value ratio (LTV). The LTV in this situation is the proportion between the size of the loan taken out and the size of the collateral pledged as security. For instance, the LTV on a $10,000 loan secured by $50,000 in collateral is 20%. The interest rate charged by BlockFi for loans with a 20% LTV is 4.5 per cent, which is significantly less than the interest charged for loans with a 50% LTV, which is 9.75 per cent annually. Anyone living outside of the United States pays slightly higher interest rates.
Conclusion: Is It Worth It?
The BlockFi Card might be ideal if you’re seeking a credit card with no yearly charge and a significant return on purchases made using bitcoin. The card is a terrific way to start for free, and many experts recommend dollar-cost averaging as the ideal method for investing in cryptocurrencies. Although the standard rate of 1.5 per cent in Bitcoin back for purchases isn’t spectacular, it’s still better than many of the card’s rivals.
How does BlockFi generate revenue?
There are several revenue streams for BlockFi. The company’s former Interest Account was a spread operation that generated revenue by borrowing money at a set rate (the interest rates it charges users) and lending it at a higher rate.
What percentage of Bitcoin does BlockFi pay in interest?
With a BlockFi Interest Account, your cryptocurrency can make up to 11% APY (BIA). Daily interest is accumulated and paid monthly. There are no minimum balance requirements, hidden costs, or delays.
Can BlockFi get hacked?
According to BlockFi, no money has yet been lost due to hacking. However, there was an attempt to hack BlockFi because it is a financial platform and a rich target for hackers. As with any other medium of its kind, BlockFi is susceptible to hacking.
Can you withdraw from BlockFi?
BlockFi may start the withdrawal process immediately, but it may take up to seven days after you file the withdrawal request for BlockFi to complete the withdrawal.