Coinbase Global Inc. (NASDAQ:COIN) CEO Brian Armstrong unveiled the company’s cryptocurrency credit card Thursday that will offer cashback rewards in Bitcoin (CRYPTO: BTC).
What Happened: Armstrong took to X to showcase the new Coinbase One Card. The card, made of metal and engraved with Bitcoin’s Genesis block, is powered by payments giant American Express Co. (NYSE:AXP). The card offers users up to 4% in Bitcoin rewards for every purchase.
However, there are certain conditions. The card would be available only to those having its premium subscription service, Coinbase One, annual memberships of which start at $49.99/year.
Moreover, the size of rewards will be determined by the Coinbase balance, meaning the larger the balance, the more BTC one will get. The company also clarified that it reserves the right to decide which transactions are eligible for rewards.
The Coinbase One Card is set to launch in the fall of 2025.
Why It Matters: The announcement follows a similar offering by rival cryptocurrency exchange Gemini, which launched a Bitcoin credit card last month. The card, powered by Mastercard Inc. (NYSE:MA), will give back up to 4% in BTC instantly on gas, EV charging, transit, taxis & rideshare, with no annual fees and no fees on foreign purchases.
Coinbase made history last month after it became the first pure-play cryptocurrency stock to join the S&P 500 Index, the widely used benchmark for the U.S. stock market. The firm also made a big push into the global crypto derivatives market by acquiring crypto options exchange Deribit for approximately $2.9 billion in a cash-and-stock deal.
Price Action: Shares of Coinbase fell 0.38% in after-hours trading after closing 3.84% lower at $241.05 during Thursday’s regular trading session, according to data from Benzinga Pro. Year-to-date, the stock has lost 2.92%.
American Express stock closed down 0.37% at $297.99 on Thursday.
As of this writing, COIN ranked high on the Growth metric, but lagged in Momentum and Value. Want to check how other cryptocurrency-linked stocks perform on these metrics? View Benzinga Edge Stock Rankings.
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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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