[2018-03-10] Credit Card Aims to Pay Users 1% Crypto Back Rewards

[jamids]

A twenty-five-year-old named Thomas Harrison has decided to build a credit card called Blockrize, that offers a line of credit and pays users back 1% in cryptocurrency rewards for every purchase. Harrison was once the head of operations for the now-defunct Whatsgoodly app that offered different types of online polling. According to Harrison in an interview with the financial news outlet Market Watch, the card already has more than 2,000 individuals on the waiting list.

The Blockrize website details that traditional rewards cards with an average expenditure of $1,250 USD per month can earn $150-300 ‘cash back.’ If someone spent the same amount in 2017 with the crypto rewards card, they would have earned $998 in BTC or $2,487 in ETH.

“1% crypto back on every purchase — Choose which cryptocurrency you want and earn it every time you use your Blockrize card — All you do is swipe, and we’ll handle the rest,” explains the company website.

At the moment Harrison is the only full-time employee running the Blockrize day to day operations. However, he is working with Shogun Enterprise’s lead fintech engineer Zak Allen, the peer-to-peer marketplace cofounder of Opensea.io Alex Atallah, and Jonathan Gelfand, managing partner at Card Linq.

Cryptocurrencies will offer a different type of incentive, but the asset’s value can fluctuate. Harrison says he suspects some people might not like the volatility involved with their accumulated rewards. “If prices go down? I do anticipate some people will be upset,” Harrison emphasizes.


https://news.bitcoin.com/credit-card-aims-to-pay-users-1-crypto-back-rewards/

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[jjacob]

This might be a very good business idea, but it would be interesting to see how they aim to get merchants to sign up for this. Would they be using existing payment processors like Visa / Mastercard. If they don't, then they will have to convince merchants to install a new PoS machine. It is not easy to break into such markets, because merchants will be reluctant to add yet another machine.

[masteraccountcreator]

I have read this article on news.bitcoin and I joined the waiting list.

[Basmic]

I've been careful to always refer to such projects. I do not see what is the benefit for the founders of the project. I doubt that there will be those who want to take loans in cryptocurrency. To risk 100% of your savings to get 1% discount? Do you think it's attractive? No, I'm not taking part in this risky offer.

[RamonBTC]

It’s hard to tell for now, as implementation of the project is much crucial in the beginning. If it works then this can be a new trend of model projects in the future, but at this moment it all just a plan without any statistical details or percentage about effectiveness at all. I will give it a chance and will give time to look for news and updates. I hope it won’t be a networking like or a scammy one.

[veleten]

one has to realise that credit cards and banks are not charities
if they offer you something,means you have paid or will have paid ten times over
all I can see is the addition of the new popular Block and Bitcoin,Etherium cryptocurrency words to the usual cashback model
the numbers are very wrong as well,they offer same 1% of your spenditures
but they factored in the rise in price,so there is a simple manipulation in place: you  recieve 1% cashback,its value rises 16 times
due to etherium/btc price rise and voala-you have a 16% cashback-sleigh of hands
but despite all of this it is a good move,more adoption,more awareness,more support for cryptocurrencies from financial institutions 

[orions.belt19]

Getting a 1% crypto back on every purchase plus having the option of which crypto would be very encouraging and enticing for consumers. I'm not a fan of credit cards but I would definitely purchase one in this case. It seems that there are already a lot of individuals who are interested and crypto seems to be quite known around their area. It's amazing the developer is still so young and was able to come up with such a concept at his age. It just shows how the future of crypto is bright in the hands of the new generation.