How does a crypto card work?
A crypto card connects a payment account to a card network. When a user pays, the card provider either deducts a funded balance, converts a digital asset, or uses an approved credit line. The shop receives the transaction through the normal card network and does not need to accept crypto directly.
A crypto card still depends on identity checks, regional availability, supported assets and the provider’s transaction rules. A card that works for online subscriptions may have different ATM, wallet or foreign currency conditions.
Which type of crypto card is it?
| Card type | Where spending money comes from | Main risk |
|---|---|---|
| Prepaid crypto card | A balance loaded before spending | You cannot spend more than the available balance |
| Crypto debit card | Digital assets or cash held in the connected account | Conversion cost, provider custody and asset price movement |
| Crypto rewards credit card | A traditional credit line, with rewards paid in crypto | Interest, debt and changing reward value |
| Collateral backed crypto credit | A credit line secured by pledged crypto | Interest, locked collateral and possible forced asset sales |
What type of crypto card is RedotPay?
The standard RedotPay card spends from supported assets held in a RedotPay account. RedotPay converts the required balance for a card payment. The standard card is not a traditional revolving credit card.
RedotPay also offers a separate Credit feature. RedotPay Credit can provide a spending limit backed by eligible non stablecoin assets. Users who activate Credit borrow against collateral and pay interest, so the risks differ from ordinary funded card spending. Read the independent RedotPay Credit guide before using it.
What does a crypto card cost?
Crypto card costs can include issuance, asset conversion, foreign currency, ATM, funding, replacement and merchant specific fees. RedotPay currently lists a 10 USD virtual card issuance fee, a 100 USD physical card issuance fee and no standard annual card fee. Usage fees can still apply.
The most useful comparison is the total cost of one realistic transaction. Card Atlas’s RedotPay card fee guide shows the published rates and worked examples instead of comparing only the annual fee.
What are the main crypto card risks?
- Provider custody: funds held in an app account are not the same as assets in a self custody wallet.
- Asset movement: non stablecoin assets can move sharply, and stablecoin pegs are not guaranteed.
- Fees and spreads: more than one charge can apply to the same purchase.
- Availability: citizenship, residence and local rules can block registration or a card feature.
- Credit risk: collateral backed credit can lock assets and create interest or liquidation risk.