A little over a month ago I decided to bite the bullet and dive into the Crypto.com Visa card world. If I am honest I'm kicking myself a bit for not doing it sooner. For those that have read my articles in the past you'll know I enjoy learning and earning crypto. I'm not a trader, though have done well (and badly) with trades in the past. Instead, I'd classify myself as a saver, though instead of putting all my savings into the standard channels, I put some into building up crypto assets. Sometimes I buy into newer projects, other times I consolidate existing coins/tokens. In general though I believe in regular saving as a means of working toward my financial goals. There is a saying you may have heard before in debt management, but in my mind this is as applicable to building funds as it is to paying back.
Save a Little but Save Often
In this article I'm going to look back over how my first month with using the Crypto.com Visa card has gone and the cashback earned. This isn't a sales pitch, just a review of my personal experience. I'm not offering up any financial advice here, it is important to establish for yourself if a product like this is for you because there is a tie in period where you lock up your initial investment. Please feel free to share your own thoughts/comments/experiences in at the bottom of the article.
What is the Crypto.com Card/Benefits
So the premise behind these cards is simple. You buy and stake/lock up $X amount of CRO ERC-20 tokens and in return you get an empty pre-paid Visa debit card that, depending on the level of your stake, have a range of benefits. The core benefit of which, however, is that for every transaction on the card you earn a certain % cashback instantly in CRO tokens.
Given that I didn't want to sink a lot of money into this without having tested it out I opted for the 1000 CRO (was MCO when I joined, but recently changed) Ruby card and here is the beauty in all her glory:
Receiving the card took a few weeks, I must admit I was getting a little ansie. I've always been on the fence about Crypto.com offers because it has felt, more often than not, that they are overly complex and trying to trip the average investor up. However, in reality I must admit that each time I messaged the team to ask about progress, someone patiently got back to me same day, if not within the hour to calmly let me know it was all okay an on its way.
Looking at the Numbers
Once the card arrived I immediately wanted to test it out. Top up of the card is done through the app, as is the retrieval of the pin code. Once you've put some funds on the card you're ready to go. Once you've topped up with an account once the future additions take just a couple of clicks and the balance appears instantly. Anyway, where was I...ah yes, ready to go. So I made a quick online donation for a leaving card (a colleague from work) and in less than a few seconds boom....CRO in my app wallet and an email to my address confirming the payment had been made on the card. Since then I've really been trying to make the most of using the card here is a little breakdown of the earning for the month.
- 118.96808 CRO - Food (shopping)
- 49.17715 CRO - Car (service and fuel)
- 56.84390 CRO - Misc (Random small purchases, coffee, gifts etc..)
- 48.72583 CRO - Big Items (specific bigger purchases)
- 117.33262 CRO - Holiday
- 391.04759 CRO - Total
I've put these in a small pie chart to look at them visually.
As you can see by far one of the biggest portions was food shopping, now a portion of this was due to the current 10% back on selected stores, but for the most part we didn't get that as our main shop isn't on the list. That said alone it is still quite an incentive at today's price (1 CRO = $0.161450) that is around $20 back for the month on food shopping alone. Factor in a couple of bigger buys (that we'd been putting off til the card arrived) and then paying for a holiday using the card (for the cashback) and it all comes to a whopping ~$65 for the month. That is a nice, and I mean nice, bonus bit of cash inflow with outgoings that really makes the investment pay for itself. I know I am saying that as a 'turn of phrase' so lets look at some basic napkin Maths below.
Right I was just saying the card paid for the investment, which isn't strictly true. However, it isn't so far off so let's see why. One of the main reason this card is good value is also linked to the referral program, which (for this card level) gives $50 of CRO instantly when you sign up and buy/stake the 1000 for your card. Because of this bonus and it being instant I think it is important to factor it in.
- Initial investment 1000 CRO = -$161.45
- Sign-up Bonus ~309.69 CRO = $50
- Month one 391.04759 CRO = $63.13
- Remainder on investment = -$48.32
All of the above calculation are based on the rate (at the time of writing of 1 CRO = $0.161450).
Let's say now that if I were to exclude the big purchase and holiday since they perhaps were less realistic for a monthly spend that mean the next month I should expect somewhere in the region of ~$36.32. That means from getting the card if I was wanting to take back my initial investment it would be around the 2.3 months mark that I can start to consider all cashback as free, that ridiculously good value in my eyes.
In case anyone is wanting to try this out for yourself here is my referral link:
- Ref Link: https://platinum.crypto.com/r/689bz2r6w4
- Ref Code: 689bz2r6w4
- Details: https://help.crypto.com/en/articles/3124990-bg50-referral-program
So going back to the initial quote I put in the introduction I think one of the most powerful things about this card/offer is that (after the initial investment) you don't need to change your habits but can be passively saving a small amount over time and putting it into into crypt savings. Small regular savings also even out the drops/peaks which is nice. I think when I picked up the card and started we were riding high, since then there was a drop and I got more CRO for my money and then again it is working back up. Despite this instability in price I've been able to work myself up to a decent level that nearly half paid for the card's deposit. I honestly (at least for me as the everyday crypto investor) cannot see a down side with the Crypto.com, would I like the top-tier card benefits, sure. Right now, however, the Ruby entry level feels like a safe way to dip my toes in the CRO world without committing to the project with more finances than I am willing to risk.
I realise that I said at the beginning this wasn't a sales pitch and I'm sorry if it turned out a little like that. I guess as someone who is actively looking at ways to build up my crypto holdings I really like the idea of doing this passively. I have a set budget that I am willing to invest directly each month and I try not to go over this. Been doing that for a little over two years now, saving small amounts but often which has fared me well. Moving to this card also allows me to do that a little more by accumulating CRO as well as my regular crypto buys. Makes for a bit of a double whammy.
I am also starting to think about fun ways to "buy the dip" with the crypto.com card, since the cashback is instant. Indeed, if I am planning on a big purchase and the CRO price tanks I can always pull the trigger on that purchase and it is effectively like buying the dip at the same time. Also don't feel too bad offering to buy rounds at dinner on my card for my mate to give me the cashback (cheeky, I know, but every little helps).
Anyway, hope you enjoyed the update, thanks for reading, good luck y'all!
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