The Status Quo: $1.5 Billion Monthly Volume, But Outdated Tech
A new report from Tiger Research reveals that crypto payment cards now process $1.5 billion in monthly transaction volume. However, the underlying infrastructure and user experience remain trapped in the 1990s credit card model. Users still undergo a cumbersome conversion path of "crypto → fiat → bank card," failing to leverage blockchain's instant settlement benefits.
Core Pain Point: Crypto Payment Cards as Mere Fiat Rails
The report criticizes that most crypto payment cards are essentially prepaid credit cards requiring fiat pre-funding, incapable of on-chain settlement. This leads to high transaction costs, delayed settlement, and limitations imposed by traditional card network fees and geographic restrictions. Crypto payment cards have not exploited blockchain's cross-border, low-fee advantages; instead, they are constrained by legacy financial infrastructure.
The Way Forward: From Payment Tool to Universal Financial Infrastructure
Tiger Research argues that the next evolution of crypto payment cards must be to become "universal financial infrastructure" — an open financial protocol that eliminates reliance on traditional card networks, supports native crypto settlement, and seamlessly integrates into daily consumption. Only by decoupling from centralized networks like Visa and Mastercard can crypto payment cards truly unleash the inclusive value of blockchain technology.