Non-Custodial Crypto Wallet ZenGo Introduces Visa Debit Card
ZenGo is partnering with Visa to offer a debit card that lets users spend their cryptocurrency without sacrificing self-custody security. Users must manually convert their crypto to fiat before spending, keeping their main wallet balances completely separate and safe.
ZenGo, a mobile cryptocurrency wallet, partners with Visa to launch a debit card in the U.S. through the Fintech Fast Track program. Unlike traditional exchange-linked cards, ZenGo operates as a non-custodial wallet, meaning users retain full control over their private keys and security. This approach ensures that even if the debit card suffers a compromise, the underlying crypto assets stored in the wallet remain completely safe.
Because ZenGo lacks knowledge of or control over a user's funds, the app requires an extra step to facilitate spending. Users first convert their chosen cryptocurrency to USD within the app before loading the balance onto the card. While this adds a slight hurdle compared to automatically liquidating assets at the point of sale, it gives users the freedom to choose exactly which crypto they sell for each transaction.
The addition of this payment card provides ZenGo with both on-ramps and off-ramps for fiat currency. Customers already use the app to buy crypto through integrations with MoonPay and Coinmama, and the new card completes the spending cycle. Although the initial rollout targets the U.S. market in early 2021, the startup plans to expand the card to other countries in the near future.