US-based crypto giant Coinbase, has become a part of a steadily growing mobile payments market as owners of Coinbase Card can now use it for mobile payments via Apple Pay and Google Pay, the company said today.
Coinbase Card lets its users use bitcoin (BTC) and other cryptoassets for daily purchases and cash withdrawals. The card has already been available in the United Kingdom and other European countries since last year while the United States customers are still on a waitlist. However, the company mentioned that a select few customers from the waitlist will be invited to apply for a card this week.
“Once you’re approved for your card, you can easily begin spending with Apple Pay and Google Pay — there’s no need to wait for your physical card,” the company said.
Also, it looks like only these new customers in the US will be able to benefit from the crypto cashback as it is currently available only for Coinbase customers in the US while European and UK customers will have to wait for the rewards program. Currently, Coinbase offers up to 4% crypto cashback when shopping via Apple Pay or Google Pay – 1% back in BTC or 4% back in stellar lumens (XLM). On the other hand, every debit card transaction will incur up to a 3% fee that might offset the rewards.
Also, the company reminded that “using your Coinbase card to make purchases is similar to selling your cryptocurrency on the Coinbase exchange.”
“You will be required to report gains or losses from your use of the card on your tax return. So long as USDC trades at par with USD, the use of your card with USDC should not result in the recognition of gain or loss,” they added.
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Source: Cryptonews
