Crypto is “More Of An Asset Class” As Such, No Crypto-linked Card Coming “Any Time Soon,” says American Express CEO
Financial services company American Express chief executive Stephen Squeri said they are not planning to offer a cryptocurrency linked card “any time soon.”
“When I look at cryptocurrencies, it’s really more of an asset class,” akin to gold, Squeri said at Yahoo Finance’s All Markets Summit.
He further said that given that the American Express card is not used to buy gold or stocks, “we’re not using the card” for crypto as an asset class either.
“I don’t see it as really something that’s going to make inroads from a credit-card perspective, or even a debit-card perspective, in terms of payment.”
He added that this is because of “tremendous fluctuations” in their prices and because you don’t have the service and dispute rights with it.
While not crypto assets like Bitcoin and Ether, Amex is indeed involved with using the card for stablecoins and is watching central bank digital currency (CBDC) “very, very carefully.”
Meanwhile, the same day, Mastercard said it is making it easier for banks to offer crypto rewards on their debit and credit card. Mastercard partnered with Bakkt to make it easier for consumers to spend the crypto rewards they earn at millions of merchants on the firm’s network.
Earlier this year, the payments giant said it would start allowing cardholders to transact in specific cryptos on its network. Then in July, it said it would work with startups focused on digital assets to enable its customers to buy, spend, and hold cryptos.
“Together with Bakkt and grounded by our principled approach to innovation, we’ll not only empower our partners to offer a dynamic mix of digital assets options but also deliver differentiated and relevant consumer experiences,” said Sherri Haymond, executive vice president of digital partnerships at Mastercard.