The 1inch Network, renowned for its decentralised exchange (DEX) aggregation services, has unveiled a cutting-edge initiative in the cryptocurrency realm: the Web3 crypto debit card.
Developed in collaboration with Baanx, a prominent figure in crypto card technology, and backed by the global payment giant Mastercard, this project marks a significant milestone.
The newly introduced 1inch Card boasts comprehensive functionality, featuring a physical card with essential details like an account number, expiration date, and the crucial "CVC" security code for transactions, according to 1inch's blog post.
Additionally, it offers a virtual card option for digital transactions where applicable.
Christian Rau, Mastercard's Senior Vice President of Crypto and Fintech Enablement, hailed the card as a pivotal bridge between the Web3 and Web2 domains:
"We've long championed solutions that not only meet customers where they are, but also deliver ubiquity, peace of mind and the highest levels of security. Leveraging Mastercard's leading technology and standards, the 1inch Card is connecting Web2 and Web3 worlds in an innovative way."
Blending Web2 and Web3
This integration of the 1inch Card into the market signals a profound convergence between decentralised finance (DeFi) and conventional banking systems.
By enabling users to spend their crypto assets directly at over 160 million locations worldwide, the card effectively closes the gap between cryptocurrencies and standard financial transactions.
While many crypto and Web3 exchanges facilitate fiat-to-crypto conversions, such processes often introduce complexities and fees, slowing down transactions and increasing security risks.
The advent of crypto-to-fiat debit purchases streamlines this process, allowing users to maintain custody of their crypto funds with a single conversion rate at the point of purchase.
Presently, the cards are exclusively available in the United Kingdom and European economic areas, with plans for expansion underway.
Chief Legal Officer at 1inch Network, Orest Gavryliak, exclaimed that:
"…the expansion of the service area depends on our partners. We are indeed working on geographical expansion for the 1inch card. Stay tuned!”
Demonstrating its user-friendly design, 1inch Network co-founder Segej Kunz showcased the virtual payment feature with a seamless one-touch transaction via smartphone.
He explained that:
"We already have a lot of people who are using one 1inch for swaps, limit orders and also as a developer portal. But we wanted to also onboard the man on the street who is holding crypto. So we decided to go with the 1inch card because it offers us an additional entry point for new people. Those who are more familiar with the traditional world and using a debit card and paying with crypto assets."
The primary objective is to attract individuals less acquainted with the crypto world but possessing digital assets, thereby easing their integration into the crypto ecosystem.
Simon Jones, Baanx's Chief Commercial Officer, emphasised the mission to provide "crypto without compromise," empowering users to freely spend, lend, or trade their digital assets while seamlessly integrating them into the global financial landscape:
"We are offering crypto without compromise. In other words, users can make their own decisions about how they want to spend, lend, trade or whatever they want to do with their digital assets. But also make these acceptable and spendable in over 160 million locations worldwide."
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