SALT Lending, a cryptocurrency-backed lending business, wants to launch a new crypto-backed credit card. The new card will be distinct from other crypto credit cards that have recently been released in that it will accept crypto as a form of security.
THE MOST IMPORTANT TAKEAWAYS
SALT Lending has announced the launch of the SALT Card, a credit card that allows customers to spend their crypto holdings.
The startup hasn’t disclosed many specifics about the card and has yet to connect with an issuing bank.
Consumers who are interested in the card can sign up for a waitlist to receive updates on its progress.
A New Take on Cryptocurrency Credit Cards
BlockFi unveiled the Bitcoin Rewards Credit Card in late 2020, the industry’s first card to give bitcoin rewards instead of cash back, points, or miles. SoFi began allowing new and existing users of its flagship credit card to redeem their rewards for bitcoin and Ethereum after another crypto exchange platform, Gemini, released its own card.
SALT Lending has now entered the fray, even if its new credit card is still in the early phases of development.
According to the firm, the SALT Card will provide more than simply bitcoin incentives. It will calculate your spending capacity based on how much bitcoin you choose to use to protect the line of credit on your card, similar to how a regular secured credit card works. It’s also similar to crypto-backed loans, which let you utilize your crypto holdings as collateral.
SALT Lending will issue the card to new applicants without a credit check because it is secured—a benefit for individuals who manage their money effectively but have a poor credit score.
Users of the card will be able to borrow up to 60% of their bitcoin owned by SALT Lending.
The SALT Card, like crypto-backed loans, allows crypto fans to use the card for regular expenditures without having to sell their coin. They’ll be able to win incentives as well.
Join the Waitlist, but be prepared to wait a long time.
It is presently unknown when the SALT Card will be released. The lending platform is still looking for an issuing bank partner, which is a need for distributing the card.
There will be no definite specifics about the card’s rewards rates or other features until that time comes.
However, you can join the card’s waitlist by visiting SALT Lending’s website.