TokenCard was the first token-to-card vendor to take the plunge and offer the convenience those who hold tokens are looking for. With TokenCard, users are able to load cryptocurrency onto a card and use it like they would any other credit or debit card. Despite being the first token-to-card vendor, TokenCard somehow got overlooked, so not everyone in search of this type of service is aware it exists.
As the use of cryptocurrency expands, more and more people are in search of a way to use their crypto assets just like they do fiat ones. Solutions like TokenCard are among the simplest methods. As we wait for more retailers to accept payments in cryptocurrency, TokenCard is the best way to ensure you can spend your crypto as fiat when you go to make a purchase.
How Does TokenCard Work?
The premise behind TokenCard is incredibly simple yet highly convenient. Users deposit as much of their cryptocurrency that they want into the token, TKN, using a smart contract. From there, you get a fiat allowance. One of the biggest benefits of TokenCard is that users are in complete control of their funds. There is no centralized channel to go through. Instead, you as the user interact directly with the blockchain via the smart contract.
What Are the Basics of the Debit Card?
TokenCard is a debit card that you can use anywhere in the world where debit and credit cards are accepted, including at ATMs. You fund your card with an allowance from your ERC-20-compatible contract wallet, as mentioned before.
At its launch, there are already multiple funding options for your card. Every user can opt to fund their TokenCard with ETH and TKN. You can also select as many as five of the following cryptocurrencies: REP, DGD, MKR, ICN, GNT, MLN, SNGLS, and 1ST. The community will choose which specific tokens should be included in the functionality of TokenCard.
How Does the Token Contract Wallet Work?
The key to TokenCard’s functionality is the Token Contract Wallet. This Ethereum smart contract wallet is where you store your tokens. When you swipe your TokenCard, funds are removed from this wallet. Because of the wallet, there is no need to ever deposit money with TokenCard. Instead, you keep all your funds in a smart contract wallet solely controlled by you.
What Additional Features Does the TokenCard Have?
TokenCard is accepted at millions of ATMs, as well as merchants around the world. It settles on assets instantly, utilizing competitive pricing. If you wish, you can set limits for your spending, so you are always in control. These limits are done via the Token Contract Wallet and can include daily fiat limits, daily token limits, percentage limits, and time-based limits. You can also freeze your card instantly if you lose it or it gets stolen, so you do not lose money.
What Is the Token App?
In addition to the card itself, TokenCard has its own application. This lets you manage and view your assets in a single, convenient place and track your spending with real-time information. Transactions display information such as where you used the TokenCard, the type of establishment, how much you spent (both in tokens and the local fiat currency), and the transaction location via Google Map’s API.
Use the application to receive and send assets in a secure and quick manner. Via the application, you can easily switch from digital assets to euros, dollars, or pounds with a single swipe. Using the Token App’s wallet, you can access ICOs, including the ability to invest in them and receive tokens. The app also features a chat function that connects you to the TokenCard team for support.
What Should You Know about the TKN Token?
As mentioned, TKN is the token behind TokenCard. TKN acts as a proxy asset representing the value of your tokens held within your TokenCard. Every time you use your TokenCard, there is a swiping fee, which is a 1 percent license fee that acts as remuneration for using the software protocol from the TokenCard project.
TokenCard will only create TKN tokens during a limited time, with just a fixed number generated during the presale. Following this, no more TKNs will be created. Those with TKNs have the right to use their TokenCard for transactions without paying those previously mentioned extra licensing fees. Of course, any transaction fees from the payment system provider or third-party card issuers will remain in play. If you use your TokenCard to make a payment and do not use TKN to do so, you will have to pay that license fee in addition to third-party fees from the issuing partner. These fees are automatically sent to the TKN Asset Contract, which is completely automated.
If TKN holders wish, they have the option of burning their TKN in exchange for pro-rata shares of the licensing fees accumulated. This is possible via New Alchemy’s “Cash and Burn” mechanism, which TokenCard is licensing. If you opt to “Cash and Burn” your TKNs, you destroy the TKN in an irrevocable manner and receive the respective tokens from the TKN Asset Contract.
How Does TokenCard Deliver Security?
In addition to being able to freeze your card instantly and set spending limits, TokenCard has multiple other security features, including a mobile application that is secure by design. All assets are stored in a smart contract wallet that is safe and triple audited. With your unique passphrase, you can restore and back up any device, making hacks significantly less likely. There is also the unique option to instantly withdraw all assets in case of an emergency.
Those who want the ability to spend their cryptocurrency at most retailers and withdraw it in the form of cash from ATMs will appreciate TokenCard. As the first project of its type, TokenCard has had plenty of time to work out any issues, ensuring that the product functions smoothly. With TokenCard, users are able to use their crypto assets for everyday purchases just like they would with any other debit or credit card, adding a layer of convenience to owning cryptocurrency.