Monaco card, a token payment card that allows you to spend your cryptocurrencies in the real world, has progressed to the pre-registration phase allowing users to register and apply for a card with hopeful shipping close to the end of October.
The card promises to provide real time exchanges every time you spend as well as a 0.75% cryptocurrecy cashback on all purchases in the form of Monaco tokens. These tokens can then be exchanged for Bitcoin or Ethereum on many exchanges making it an appealing option of card to use. If the value of the Monaco token rises then so will the value of the 0.75% cashback. But of course this is all susceptible to the market and what the token is trading at, currently last high of $20.07 USD or 0.00421042 BTC.
You can watch the price on Coin Market Cap.
The problem with the real time exchanges is that the volatility of the markets means that the price of Bitcoin can surge or drop within minutes of making a purchase which means users would be constantly watching the price and controlling their buying behaviour around the market price thinking twice about buying a coffee on Bitcoin if one day it costs more than the other.
The card options themselves include, plastic or composite metal cards coming in an array of colours and options with some conditions behind them.
I chose the Ruby Steel card as its a composite metal card with the 0.75% crypto cashback and the only requirement for having the card is holding onto 50 Monaco tokens, which I have some, for 6 months. A strategy by the company to help hold and retain the value of the token and stop people from dumping the token too early lowering its value and appeal to new users of the card.
What is missing from the cards is any sign or partnership with VISA or Mastercards. Many of the other token card providers, such as Wirex or TenX all have some sort of partnership to allow the usage of the cards anywhere VISA or Mastercard is accepted. Monaco is missing this from their visual mockups of the card. Perhaps they managed to get around all this and have also reduced the fees? I'm unsure of this.
I'm currently eagerly awaiting for my card to arrive and am number 4,144 in the queue waiting, with 263 people behind me waiting for the card.
You can obtain $10 USD credit if you sign up under my link, which will also push me forward 50 spots each time someone signs up (Thanks in advanced).
Downsides
I've also read a lot of articles around the card and how it works, along with the mathematics around the exchanges and fees and most articles aren't favourable towards Monaco as they as a company win out in the long run (as they should, its a company). Before deciding on which token card to use, please make sure you do your research and and choose what is best for you and your situation.
I'd love to hear what your thoughts are on the card and Monaco as a company itself. Obtaining and using a card isn't just allowing you to use and spend your cryptocurrencies but also is supporting Monaco and what they are trying to achieve.
Additional Reading
- Monaco Whitepaper (missing and can't be found!)
- Monaco milestones and upcoming timeline
- Sign up for the card, get $10USD credit and push me ahead in the line
This is a step in the right direction for cryptos. Keep us updated.