Coinbase and Amex Launch Bitcoin Rewards Card with a Twist

Coinbase, the crypto exchange behemoth, and American Express, a financial juggernaut, are shaking things up with the Coinbase One Card. Unveiled at the State of Crypto Summit, this metal credit card, sporting Bitcoin’s Genesis block, offers up to 4% Bitcoin rewards on every swipe. But not everyone’s cheering. Some crypto purists call it a debt trap that betrays Bitcoin’s roots. As a Coinbase user who’s seen crypto’s ups and downs, I’m unpacking the card’s perks, risks, and whether it’s a game-changer or a gamble.

Launched June 12, 2025, the Coinbase One Card is Coinbase’s first credit card, moving beyond its 2020 Visa debit. Issued by First Electronic Bank via Cardless and powered by Amex’s network, it offers upto 4% Bitcoin cashback based on your Coinbase asset holdings. Exclusive to U.S. Coinbase One subscribers, it rolls out in fall 2025 with a waitlist open now. The card’s stainless steel design, etched with Bitcoin’s origin, screams crypto cred for enthusiasts.

Key Features and Benefits

Here’s what the Coinbase One Card brings to the table:

• Bitcoin Rewards: 2–4% cashback in Bitcoin, sent straight to your Coinbase wallet.

• Amex Perks: Zero foreign transaction fees, travel protections, and exclusive events.

• Crypto Boosts: Up to 4.5% APY on USDC, 5% ETH/SOL staking rewards, $10/month Base network gas credits.

• App Control: Manage spending and rewards in Coinbase’s app, as seamless as Apple Card.

• Premium Design: Metal card with Genesis block engraving which has potential to be a HODLer’s flex. Coinbae CEO posted the design while applauding the benefits.

Compared to the Gemini Mastercard (up to 3% in Bitcoin or other crypto), the Coinbase card edges out with higher rewards and Amex’s elite network, but it’s tied to a subscription.

How It Works and Who It’s For

The Coinbase One Card lets you earn Bitcoin rewards on every purchase, ranging from 2% to 4% based on your Coinbase account balance. The more crypto you hold on the exchange, the higher your cashback rate, with rewards deposited directly to your Coinbase wallet. But holding funds on exchanges comes with risks, like hacks, so moving rewards to a personal wallet is wise. You’ll need a Coinbase One subscription, costing $29.99/month or $4.99/month for the Basic tier, which includes zero trading fees on $500/month. Applying for the card triggers a hard credit pull, potentially dropping your score by 5–10 points, per Experian. It’s best for crypto enthusiasts who trade actively, pay balances in full to avoid debt, or value Amex’s travel perks. Casual users may find the subscription cost outweighs the benefits unless they’re frequent traders.

Pros and Cons of the Coinbase One Card

Pros	Cons
Up to 4% Bitcoin rewards	Coinbase One subscription cost
Amex network security/perks	U.S. Only
USDC/staking reward boosts	Debt risk for overspenders
Sleek metal design – great flex	Rewards tied to exchange holdings

The Critics’ Take

While many hype the card as a step toward global crypto adoption, social media skeptics aren’t buying it. They’ve labeled it a trap, arguing that “‘hold more, earn more’ pushes keeping coins on exchanges while piling up debt.” They pinpoint how this clashes with Bitcoin’s ethos of self-custody and financial freedom. Keeping crypto on exchanges risks hacks, e.g 2024 WazirX breach, where $230 million vanished. Meanwhile, U.S. credit card debt hit $1.14 trillion in 2024, per the Federal Reserve, and incentivizing spending could fuel that fire.

Bitcoin’s supposed to empower users with control, not chain them to maxed-out credit lines. Coinbase counters with robust security (2FA, 98% cold storage) and Amex’s fraud protection, but the debt risk looms large for impulsive spenders.

Final Thoughts

Coinbase and Amex are making crypto spendable, bridging Bitcoin with everyday purchases. Amex’s Will Stredwick called blockchain “a long-term game-changer” at the summit, signaling big bets on crypto’s future. This aligns with moves like OKX’s Mastercard debit and Coinbase’s PayPal stablecoin tie-up, pushing digital assets mainstream. With Amex’s 141 million users and Coinbase’s 560 million crypto adopters, the card could spark a spending revolution. But users need to be mindful of piling up any debts. As always, tread carefully and mindfully.