Australia now has the third-highest crypto adoption rate in the world. The country has recently hit the mark of 1,200 Bitcoin ATMs, making crypto cards an excellent choice for token holders and BTC enthusiasts. But are these cards legally accepted and regulated in Australia? Let’s find out in this article with insights and specifications from the country’s regulators.
Are crypto debit and credit cards accepted in Australia?
The answer is YES. In fact, crypto cards have been accepted legally in Australia for many years.
In the EDGE Document Messages Specification of the Australian Securities and Investments Commission, or ASIC, the regulators clarified that they “strongly recommend crypto cards” as a key storage media. EDGE is ASIC’s system for large volume lodgers, such as accountants or legal firms. It offers flexible lodgement, helps schedule workflows, and provides direct access to ASIC’s register information.
Moreover, statistics show that the number of Bitcoin ATMs in Australia is growing significantly. According to Coin ATM Radar, the number of Bitcoin ATMs in Australia have neared the 1,200 mark, rose by over 20% since April 24 this year and is a far cry from the 73 ATMs two years ago.
Australia is now the third country in the world in terms of Bitcoin ATMs, following the United States and Canada. The US-based company Bitcoin Depot is also preparing to install over 200 additional ATMs in Australia pending regulatory approval.
Are crypto cards regulated in Australia?
Although there are no specific regulations or law frameworks for crypto credit, prepaid, or debit cards, you can only find cards that are issued by legitimate and registered crypto exchanges in Australia. Typically, these platforms must be registered with the AUSTRAC and comply with Australia’s financial regulations, including Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) laws.
Since cards’ issuers are subject to regulatory oversight, any dishonest activities associated with their cards will be punished according to laws to protect customers while fostering a healthy crypto community.
Legitimate Exchanges’ Crypto Debit Cards
The National Australia Bank (NAB) is really strict with certain high-risk international exchanges, and they claim to remain consistent with their stated policies with cryptocurrency exchanges. However, the NAB representative once said in an interview about their receptive stance to legitimate and registered exchanges: “CoinSpot, CoinJar, Swyftx, and Coinbase are all okay.”
This statement consolidates the trustworthiness of prominent exchange platforms, which are also highly appreciated crypto card issuers.
CoinSpot Mastercard
The CoinSpot prepaid debit card is compatible with Apple Pay® and Google Pay®, allowing clients to spend any cryptocurrency holdings on their mobile devices. It is important to note that this crypto card is digital only since CoinSpot stated they now don’t have any plans of releasing any physical cards.
A key feature of CoinSpot Mastercard is that its fee schedule is very competitive, given that numerous crypto cards are reducing users’ benefits and charging new fees. CoinSpot MasterCard doesn’t require users to pay any monthly, annual, or activation fees, except for a minimal 1% conversion fee. In addition, you can access several in-app security features, including the ability to set spending limitations, “freeze” your card, and switch the crypto card on and off.
CoinJar Mastercard
The CoinJar Card debuted in 2015 (under the name CoinJar Swipe), then reintroduced in August 2021 under the name CoinJar Card. As a Mastercard-powered debit card, it enables you to spend your digital currency anywhere in Australia, supporting EFTPOS.
You can enable both virtual and actual payments with the app and the crypto card. With the physical card, you can withdraw funds from any ATM or retailer that offers cash-out services. A 1% conversion cost from crypto to fiat for every transaction is reimbursed to your CoinJar rewards account.
Coinbase Debit Card
Powered by your Coinbase account balance, the Coinbase Debit Card makes spending BTC and altcoins for purchases easier than ever. You can use your crypto card at millions of locations globally, uninhibited by the local currency exchange rate or inconvenience.
The Coinbase app allows you to pay with any of your available cryptocurrencies, saving you time as you choose between nine alternatives, including BTC, REP, ZRX, ETH, XRP, BAT, LTC, BCH, and XLM.
You can also monitor all types of spending and transactions and receive quick notifications on your spending limits. If you are concerned about your security, the card has a two-step authentication mechanism, and you can freeze it quickly via the app.
