Crypto card access doesn’t match global demand, Tangem says
Swiss wallet provider Tangem says demand for crypto-linked payment cards is strongest in regions where access is limited, citing heavy usage from Latin America and the US. The company launched a physical Visa card that lets users spend directly from their self-custodial wallets, initially issuing 5,000 cards and delivering to almost 200 countries with some exclusions.
Why It Matters
This roll-out highlights friction between consumer demand for crypto payment rails and the regulatory, banking and card-issuer constraints that determine where such products can operate. It also illustrates an industry move to bridge self-custody with regulated payment networks, exposing new operational and compliance trade-offs.
Key Facts
- Usage by region: Over 40% of Tangem Pay payments come from Latin America; over 30% come from the US
- Initial card release: 5,000 physical Visa cards
- Delivery reach: Cards delivered to nearly 200 countries; roughly 20 countries excluded
- Countries excluded: Includes China, Russia, North Korea and Palestine
- Cashback: Rewards paid in Circle USDC: 1% for Basic users, 2% for Plus users on eligible purchases
Tangem, a Swiss maker of crypto wallets and payment products, says the geographic pattern of demand for crypto-linked cards does not always match where card issuance and banking infrastructure allow access. The company told Cointelegraph that while Latin America and the United States account for the majority of Tangem Pay transactions, availability of a physical card is limited by where regulation, KYC, bank cooperation and card-issuing rules align.
This week Tangem introduced its first physical Visa card for in-store and online purchases and ATM withdrawals. The initial release is capped at 5,000 cards. Tangem said the product allows users to fund the card directly from their self-custodial wallet and to move funds back into that wallet if the card is suspended or closed, a design intended to preserve user control over assets.
The firm emphasized that self-custody removes a custodian between users and their holdings, but noted a separate set of constraints emerges once assets enter a regulated payments network. Those constraints — including KYC obligations, sanctions compliance, local banking rules and card-issuer requirements — determine where the Tangem Pay card can be issued, and they do not necessarily follow the same rules that govern crypto access generally.
Tangem said it can deliver cards to nearly 200 countries but cannot currently ship physical Tangem Pay cards to about 20 jurisdictions, naming China, Russia, North Korea and Palestine as examples. The company will also offer cashback in Circle’s USDC stablecoin, with Basic users receiving 1% and Plus users 2% on qualifying purchases. Tangem plans to present the physical cards at the Token2049 conference in Singapore.
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Original source: Cointelegraph