In an effort to encourage increased use of their crypto linked prepaid card, Bitpay announced a partnership last week with Cardlytics to support a prepaid cash back rewards program. This move is another example of working to bridge the gap between the acceptance of fiat currency at point of sale and the ability and encouragement to use crypto easily to make purchases. Jamie Redman reports further at Bitcoin.com.
“Cardlytics is partnered with thousands of unique merchants such as Adidas, Costco, Office Depot, Shake Shack, Sam’s Club, Finish Line, and H&M. Farrell Hudzik, the EVP of financial institutions at Cardlytics, explains that getting rewards for using the Bitpay card at specific merchants is easy. “Working with Bitpay, we offer their crypto cardholders a customized shopping experience where they can earn cash back making the Bitpay card easy to use anytime they shop,” Hudzik said in a statement”
The list of well-known brands participation in the program highlights the desire for topflight retailers to provide options and incentives in partnership with the platforms to serve the needs of pioneering consumers that have already adopted crypto and to pave the way for the next generation of more hesitant consumers to consider options for using crypto currency in a safe and effective manner. The use of prepaid cards also helps to give an easy, and less risky on ramp to consumers who may want to dip their toes in the water of crypto and understand the investment and practical payment options available to them.
The opening of the prepaid cash back rewards program also brings Bitpay into closer alignment with competitor Crypto.com who also offers a reward program in partnership with Cardlytics, one that offers reward payments in the Cronos cryptocurrency. Bitpay also added support for Apecoin and Euro Coin, bringing the total number of crypto currencies supported in their platform to 15. The continual addition of newly supported currencies and the ability to support consumer friendly incentives such as the rewards program show continuing momentum to normalize the use of crypto to an expanding general use population. Bitpay CEO Stephen Pair explained further in the article:
“’Cryptocurrencies are becoming increasingly popular and widely used as many like the option to live life on crypto,’ Bitpay’s CEO remarked. ‘Adding a reward program through Cardlytics offers crypto enthusiasts another incentive to get and use the Bitpay Card. It’s easy, just load the Bitpay Card with crypto, spend with dollars, get cash back and see rewards in the Bitpay app.’”
This comment adds to the April announcement of support for payments through their app using the Lightning Network for payments, allowing for digital payments to complement the card payments supported through the Bitpay branded Mastercard prepaid card.
Overview by Jordan Hirschfield, Director of the Prepaid Advisory Service at Mercator Advisory Group