Bitcoin Purchases Via Credit Card Launched By Breadbr>
Bitcoin wallet Bread is releasing a new feature that will allow its customers to purchase bitcoin directly with their credit cards. This new feature joins two existing purchase options in Bread: ACH transfer in the US, and in-person purchases through ATMs and convenience stores in multiple countries. Its bitcoin wallet is available on both iOS and Android.
“Starting this week, Bread customers around the world will have the ability to use a credit card to purchase bitcoin and have it deposited directly into their Bread,” said Bread CMO Aaron Lasher. “This new feature builds on a partner integration with Simplex to allow high limits and near-instant delivery for most users.”
Lasher said the significant update to Bread comes after listening to community feedback, claiming users have found the process of getting verified on various exchanges time-consuming. He also claims the community has been disgruntled by restrictive daily limits preventing large-scale bitcoin buys, as well as the slow delivery times.
The new feature will provide same-day delivery of bitcoin with limits up to $20k per day and $50k per month. It also puts the private key in the account-holder’s hands, removing the need to trust a third-party service provider.
“With Bread, your bitcoin is delivered directly into the safety of your personal wallet, where you alone control the private keys,” Lasher said. “You get the service of an exchange without taking unnecessary risks.”
Lasher notes that service fees were not a top concern for its users. “Since the volatility in crypto markets is so drastic, people are less concerned with the price than they are with having the ability to get bitcoin quickly the instant they want it,” he said. “We’ve used this feedback to offer a solution that best balances fees against the other advantages of using the service.”
Breads announcement came after multiple major banks were beginning to ban the use of credit cards to purchase cryptocurrencies. JPMorgan Chase, Bank of America, Citigroup, and Lloyds Banking Group have banned the use of credit cards to buy bitcoin and other cryptocurrencies, fearing a plunge in their value will leave customers unable to repay their debts.