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Will Reeves created the Fold app in 2019 with the intention of making Bitcoin more accessible to the general public. With Fold, users could use a debit or credit card to purchase gift cards from their favorite retailers, such as Uber, Amazon, and DoorDash, and earn money back in the form of Bitcoin rewards. After the launch of the app, it soon followed a shared branded debit card, which allowed consumers similar benefits, namely the ability to earn Bitcoin as a refund for their daily purchases.
Select explains how the Fold app and debit card work, and highlights similar products that consumers can use to earn rewards in cryptocurrency.
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How does the Fold app work?
O The Fold app is available for free download through the App Store and Google Play. To purchase gift cards from certain retailers, including Adidas, Amazon, AMC, Chipotle, and DoorDash, among others, users must link a credit or debit card through the app. Each retailer offers different refund rates on gift cards, while, according to Reeves, users can earn Bitcoin rewards during the time of purchase at current market value. Folded gift cards can be used for in-store and online shopping through the retailer.
Before buying a gift card, users can check how many ‘sats’ or satoshi, the smallest denomination of Bitcoin, they will earn. For reference, a “sat” is worth one hundred millionth of a Bitcoin.
“Users earn Bitcoin directly and can withdraw it to a staff [crypto] “In other words, users don’t turn their points into a cryptocurrency.”
Through the Fold app, users can also spin a virtual wheel, giving them the chance to earn Bitcoin rewards every day, ranging from just a handful of ‘sats’ to thousands of them. When it’s time for users to redeem their rewards, they just need to transfer them to a personal Bitcoin wallet. Please note that according to the website, Fold currently only processes chain wallet withdrawals such as the one offered by Coinbase, among others, and also accepts native SegWit addresses.
The Fold app can be a great option for users who plan to buy items through selected retailers, as it gives them a chance to earn Bitcoin rewards on items they would normally buy anyway.
What options does the Fold debit card offer?
In addition to the app, Fold has its own co-branded debit card. Although the Fold Spin debit card does not perform a credit check or has an annual fee, it comes with an attached checking account, in which cardholders can deposit money by direct deposit or ACH transfer.
With the Fold Spin debit card, users can earn a flat 1% refund rate on their purchase or take a risk by spinning the virtual wheel of the app to earn a higher refund rate.
1% Bitcoin refund or spin for the option to win up to 25% Bitcoin refund
Foreign transaction fee
N / A: Cannot be used internationally
According to Reeves, users can earn from less than 1% to 25% refund on their purchases by spinning the wheel. They can also earn extra spins by shopping regularly, depositing money, and collecting spins through the Augmented Reality Rewards experience, or AR, in the app, which allows users to track the rewards of Bitcoin and traders hidden around them in a way that be. similar to Pokémon GO.
Those interested in getting higher rewards can opt for the Fold Spin + debit card, which has an annual fee of $ 150. With this premium option, cardholders can get up to 100% cash back on purchases by spinning the wheel and can earn up to three additional spins per week; meanwhile, the Fold Spin card only offers up to one extra round per week.
While the Fold Spin + card offers consumers the chance to earn a higher refund rate on their rotations, it may not be an investment that will necessarily be worth the $ 150 annual fee; don’t choose to spin the wheel. Since it’s a bit of a gamble to spin the wheel, you can even end up earning less than 1% cash back.
On the other hand, the Fold Spin card can be a good choice for those looking to earn Bitcoin rewards in their daily expenses, especially because there is no annual fee and you will receive a spin for all your purchases of $ 3 or more. However, consumers should be aware of the volatility of cryptocurrency if they opt for a Bitcoin rewards card.
Alternatives to Fold
Coinbase, one of the largest trading platforms based on trading volume, offers a debit card that allows users to earn cryptocurrency rewards. Unlike the Fold debit card, which uses US dollars to pay for transactions, the Coinbase Card actually connects to your Coinbase account and converts any cryptocurrency into dollars at the time of purchase (it also allows you to spend US dollars). The Coinbase Card offers up to a 4% refund in the form of multiple cryptocurrencies on each purchase, and although there is no annual fee, you may pay fees to spend certain types of cryptocurrencies that you own.
SoFi credit card
The SoFi credit card offers its holders a 3% cash refund for one year when you set up direct deposit with SoFi. After that, you earn a 2% unlimited cash back on purchases by redeeming your rewards like Bitcoin or Ethereum, if you wish. The card has no annual or foreign transaction fee. SoFi is a personal finance company that offers financial products such as student loans, personal loans, bank and investment accounts for cryptocurrencies. With the SoFi credit card, you can have your rewards deposited directly into your SoFi current and savings accounts and use them as you wish, whether for cryptocurrencies, to pay off your student loans, or just to pay your credit card bill. credit.
O The Fold app and debit card can be a good option (if you opt for the regular Fold Spin debit card instead of the Fold Spin +, which has an annual fee of $ 150) for those looking to dive into the world of cryptocurrency, while Virtual wheel opportunity also adds an element of excitement and risk. That said, the rewards Bitcoin will earn through the app and the debit card aren’t substantial, and users should keep in mind that if the value of Bitcoin tanks, their rewards won’t be worth much either.
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Editorial note: The opinions, analyzes, reviews or recommendations expressed in this article are exclusively from the wording of Select and have not been reviewed, approved or endorsed by any third party.