Coinbase Card Australia Review 2023: Benefits, Fees and Perks
Coinbase Card Australia Review: Our Opinion
Although the Coinbase Card is widely accepted in all Visa-supported outlets and guarantees a 4% cash-back, the card may only suit select users who do not want to buy crypto directly.
The Coinbase card doesn’t offer much besides allowing users to spend crypto and get rewards, and it costs 8.8 AUD for a physical card, which is higher than its competitors. Coinbase charges 9.98% for withdrawals from ATMs and currency conversions.
Coinbase is one of the most recognised crypto exchanges in the world. Aside from enabling the trading of digital currencies, Coinbase also offers a crypto debit card. The Coinbase Card allows users to spend and earn crypto rewards.
This article discusses what the Coinbase Card offers and the other benefits attached.
An Overview of Coinbase Card
Coinbase was founded by Brian Armstrong and Fred Ehrsam in 2012. The Bitcoin trading platform is one of the top five largest cryptocurrency exchanges and caters to over 73 million customers across several continents. Although not a traditional Australian exchange, Coinbase allows investors to interface with over 9,500 crypto assets are available for users to exchange, buy and sell crypto.
Its highly intuitive interface has contributed to the exchange’s success. Coinbase enjoyed a stellar 2021 and is currently the first publicly-listed Bitcoin exchange on the Nasdaq trading floor. The platform has launched several crypto-facing services, including a crypto wallet, staking non-fungible token (NFT) marketplace, and offers its customers the ability to spend their cryptocurrencies through its Coinbase Card.
Additionally, the exchange sports a premium service called Coinbase Pro. Coinbase Pros offer more advanced trading tools, more sophisticated trading pairs, and significantly lower fees than the regular Coinbase platform. Top financial dogs like the Financial Conduct Authority (FCA) and the Financial Crimes Enforcement Network (FinCEN) regulate the remote exchange.
Coinbase Card: What is it?
Coinbase Card is a Visa-powered debit card that allows cryptocurrency holders to spend their cryptocurrencies conveniently. Crypto enthusiasts can use the Coinbase Card to optimise the utility of their cryptocurrency assets, and over 40 million Visa merchant outlets accept it.
The Coinbase Card operates like a traditional debit card but executes transactions with crypto assets. Every time a purchase is made, the Coinbase card can automatically convert the selected crypto assets to the fiat currencies equivalent.
All Australian customers are eligible for the debit card; no credit check is required to apply.
Coinbase Card: How Does it Work?
As mentioned, the Coinbase Card allows users to spend their crypto holdings in Visa-supported merchant outlets. However, to purchase the Coinbase Card, customers must own a Coinbase trading account with the exchange.
The Coinbase card converts the digital asset to Australian Dollars and makes real-time payments for purchases.
Users can store multiple wallets for their crypto portfolio. This account allows Coinbase Card holders to spend their cryptocurrencies offline, online, and internationally. Coinbase Cardholders can use it to make everyday purchases, including coffee or gym memberships, and receive rewards.
Benefits & Perks
One of the crucial drawbacks we discovered is the lack of additional perks or incentives for using the crypto card. The card’s only value-added services are 4% cash-back rewards and the convenience on crypto spending, an unwelcome development for crypto enthusiasts searching for real-world benefits. For those who do not want to buy something other than digital assets directly, the Coinbase Card is a good option.
The Coinbase card currently supports over ten crypto assets. A few of the top choices include:
Regarding fees, the Coinbase Card’s charges are a bit on the high side. The physical card costs 8.8 AUD to get that tactile experience, while the virtual card is free.
Aussies can withdraw up to 358 AUD monthly for free, after which the exchange charges a fee of 1% on domestic cash withdrawals (ATM withdrawals). The 358 AUD limit also applies to international cash withdrawals, but the exchange charges users a 2% fee when they exceed their limit.
Domestic POS transaction incurs a 0.2% fee, while foreign transactions incur 3% currency conversion fees. Card replacement will set users back 8.8 AUD again, while a chargeback processing fee will cost users 35.8 AUD.
For crypto liquidation fees, Coinbase charges 2.49% in transaction fees. The Coinbase Visa Card does not charge annual maintenance fees, a welcome development for individuals worried about extraneous charges from their regular banks.
Different Card Holder Tiers
Unlike other crypto debit cards, the Coinbase Card does not have tiers. With Coinbase, every customer receives a blue-themed Visa card, either as a tactile experience or as a virtual one that lets him shop more hands-free.
Opening an Account
As stated earlier, to access the world of crypto convenience that the Coinbase Visa Card offers, customers need to open a Coinbase account. To get started in less than 10 minutes, follow these easy yet detailed steps:
Register on Coinbase
The first step is to visit the Coinbase official website and click ‘Get Started’ to redirect to the ‘Sign Up page. Fill in the first and last name tab, followed by an email address and unique password.
Tap the check box and click on ‘Create an account to proceed to the next stage.
Coinbase is a regulated cryptocurrency exchange, and all customers need to complete the know-your-customer (KYC) process to unlock more platform functionalities. Click on ‘Buy/Sell’ to verify ID documents. Since this is the first time, the ID verification page will pop up. Click on the ‘Submit ID’ icon and upload an official passport, driver’s license or any government-issued ID card. The Coinbase team will verify the new account within hours.
Coinbase supports funding through bank transfer through an Australian account, credit or debit card, e-wallets like Google Pay and Apple Pay, and direct crypto deposits. However, Coinbase charges 3.99% for debit transactions.
To fund a new Coinbase account, click the Deposit button and select a payment method. Insert the minimum of 2.97 AUD and follow the on-screen prompts to complete the process.
Apply For Coinbase Card
The final step is to apply for a Coinbase Visa Card. To do this, tap on the three vertically arranged dots on the left-hand side of the Coinbase screen and tap on ‘Pay.’ Next, click on ‘Apply Now and fill in the relevant information to sign up.
There are no application fees or credit checks to get the card. If customers complete their registration process and reside in any supported regions, they can get the physical Coinbase Card within days.
Coinbase Card App
The Coinbase Card does not offer a standalone mobile app for its card services. Instead, users can request a crypto debit card using the Coinbase app. The mobile app is compatible with both Android and iOS devices.
The mobile app is easy-to-use, much like the web trading platform, and anyone with basic computer skills can easily navigate the mobile app. The ‘Buy/Sell’ icons are prominent on the dashboard, and users can also send and receive crypto by tapping on the relevant button. Because the Coinbase app lacks advanced trading strategies and supports the spot trading of crypto assets, it is ideal for beginner traders.
Several crypto trading platforms have been criticised for their poor customer satisfaction levels in the past year, and Coinbase has not been any different. The crypto exchange has a poor rating of 1.6 out of a possible five from the popular review website Trustpilot. This figure is derived from 7,715 reviews dropped by customers of the platform.
The main complaints are high trading fees and a poor customer support system. 78% of users gave the top crypto exchange a 1-star rating.
Is Coinbase Card Right for You?
The Coinbase Card brings more utility for crypto denizens but is it right for you?
It generally offers a more utilitarian option to spending crypto and affords users more flexibility in sorting their bills. But this does not come cheap. The card charges 2.49% for ATM withdrawals, and fiat currency conversions could bite hard into the rewards gained from using the card in the first place.
Coinbase may not be suitable for long-term crypto investors who are fee-conscious. Also, it lacks any inherent utility, meaning users only have to rely on the 4% cash-back.
Coinbase Card offers users a way for crypto users to spend their assets. In return for using the card, customers can earn crypto rewards worth up to 4% on the top 10 crypto assets.
While this prompts more utility for crypto assets and provides a convenient means for crypto enthusiasts, the card needs additional benefits and perks. It also incurs a combined 9.98% for conversions across ATM withdrawals and currency.
Most frequent questions and answers
Investors can withdraw funds to their Australian bank account. However, before sending the crypto asset to an attached payment method, they must convert it into AUD fiat currency.
Australian users can withdraw cash from ATMs using Coinbase cards. There is, however, a limit on withdrawals per month and a fee of 2.49%.
The Coinbase Card is accepted in over 40 million Visa-supporting outlets and covers all the top shopping experience centres in the world.
The Coinbase Card is a debit offering, meaning users need to store crypto assets to use it. The upside is that no credit check is required to be eligible.
Coinbase crypto exchange uses top-notch security measures to protect investors’ funds and details. The platform offers two-factor authentication (2FA), address whitelisting, and cold storage.
We always try to provide the most accurate information available, and make sure our team follow through.
If you want to know more about our Crypto Exchanges Review Methodology follow the link below
Skrumble.com provides all its content for informational purposes only, and this should not be taken as financial advice to buy, trade or sell cryptocurrency or use any specific exchange. Please do not use this website as investment advice, financial advice or legal advice, and each individual’s needs may vary from that of the author. This post includes affiliate links with our partners who may compensate us.