Did you know that crypto entrepreneur Brock Pierce recently purchased a house in Amsterdam using a $1.2 million credit line through Nexo? Or that he hasn't made a single repayment since taking out the loan because of the rising value of the Bitcoin he staked against it?
We're not here to talk about crypto mortgages today, but this news story illustrates just how beneficial collateralized lines of credit and dynamic collateral valuation can be. Both of these features have been wholeheartedly embraced by Nexo with its line of credit cards.
No wonder there's been a tremendous amount of buzz about the Nexo card in recent months. But does it hold up to all of the hype as the best card in the crypto world?
Let's take a closer look at the Nexo Card and whether this cryptocurrency card lives up to these claims.
An advanced and automated loan platform, Nexo entered the scene with instant crypto loans. The platform has stayed true to its original vision, offering users loans with crypto-to-crypto and crypto-to-fiat options.
To date, the decentralized finance company has processed more than $5 billion in two years. It boasts in excess of one million users.
Founded in 2017, it's the only company to offer blockchain financial services to 200 nations worldwide in more than 45 fiat currencies. Nexo's parent company is Credissimo, a European FinTech company regulated in Malta (European Union).
To gain access to its collateralized loans, Nexo doesn't require users to sell their current crypto holdings. This option represents a major plus for many consumers.
So, who uses Nexo besides Brock Pierce? Primarily traders, investors, hedge funds, cryptocurrency miners, and crypto companies. Apart from crypto loans, Nexo also provides interest accounts.
Notable advantages of working with Nexo include its rigorous security features. The company complies with the Securities and Exchange Commission (SEIC) and operates under the European Banking and Financial Service Regulators' guidance.
They rely on a secure two-factor authentication login system, with user credentials verified using SSL technology. Nexo stores its crypto assets securely through BitGo, which is, in turn, insured by Lloyd's of London for a sum up to $100,000,000.
Despite these rigorous security standards, Nexo makes the process of securing a loan hassle-free and fully automated. Loans are available for various collateral, including Bitcoin, Ethereum, Nexo, Binance coin, Litecoin, Ripple, etc.
Nexo Card: The Best Card in Crypto?
How does the Nexo credit card fit into this mix? The company's cryptocurrency credit card has been lauded as the best on the market by many. And with good reason.
The credit card is linked directly to your Nexo account, providing access to funds without having to withdraw them from your bank account.
Users wield the card just like standard credit cardholders do. For users who rely on the card to make payments, Nexo provides the incentive of five percent cash back. This cashback offer has proven an excellent motivator for many customers relatively new to the card.
How much can customers secure in terms of credit with this card? It depends on the funds the customer holds in their Nexo account. These amounts range from $500 to upwards of $2,000,000.
What happens to individuals who default on their credit card payments or loan amounts? They see a corresponding reduction in their collateral.
Master Card backs the Nexo card. That means it comes with exclusive features and perks. While not as impressive as those offered by Visa, the card outperforms other institutions such as American Express in this area.
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Advantages of Using the Nexo Card
What's the #1 advantage of using the Nexo Card? It's the only crypto card on the market today that permits consumers to spend the value of their crypto without selling their holdings.
What's more, the card provides instant cashback on purchases and flexible payment options.
Who accepts the Nexo Card? More than 40 million merchants worldwide with payments in local currencies. With Nexo, you also get access to free virtual cards, and you never have to worry about monthly or annual fees.
You'll enjoy no fees on international transactions, making it an excellent option for consumers on-the-go. You won't be surprised by any hidden fees, either.
Nexo Card comes with all of the features consumers demand at the convenience of their fingertips. Using the Nexo App, you can:
Freeze and unfreeze your Nexo Card with a single click
View your pin and change it at any ATM as needed
Create free virtual cards to facilitate secure online purchases
Monitor your transactions in full detail in real-time
The Nexo Card provides an innovative array of user-friendly options. Customers love its simplicity and hassle-free capabilities. Like any international card, you can buy what you like with the funds on your card, but you'll enjoy better terms.
With its card, Nexo is staying true to its cutting edge FinTech foundations by offering the world's first card to spend the value of assets without selling them.
How do you get in on the action? Order the card and manage it using your Nexo Mobile App. You'll gain instant access to Nexo's services no matter where you live, whether you're making in-store purchases or buying cryptocurrency online.
The Collateralized Credit Revolution
When it's all said and done, Nexo Card brings you the best of collateralized credit. Its cards are available independent of your credit history because of the reliance on staked collateral. In turn, this collateral reduces the company's default risk.
You can repay your loan in either fiat or crypto, and your minimum payments get eliminated as the value of Bitcoin goes up. In other words, the credit is "dynamic," with your collateral increasing in value relative to the market.
Are you ready to find the best card on the crypto market? Bitcompare's done all of the research so that you don't have to. Browse the best crypto cards now.