Earn Bitcoin Every Time You Shop! - The Impact of Coinbase's New Credit Card

1. What is the Coinbase One Card

On June 13, 2025, at the "State of Crypto Summit" held in Zug, Switzerland, the audience was thrilled by Coinbase CEO Brian Armstrong's announcement of a new credit card. This exclusive card is available only to members of the annual subscription service "Coinbase One" and features a bold design that offers up to 4% cashback in Bitcoin (BTC) on purchase amounts.aktiencheck.de

1-1. Premium Membership Service "Coinbase One"

Coinbase One is a monthly subscription service, and the current plan offers

• zero trading fees

• priority support

• enhanced staking rewards
  . With the addition of the card, the cycle of "buy, deposit, use, and save" is completed.
  
  
  

1-2. Reward Mechanism

• Cashback Rate: 0.5–4.0% (varies in tiers depending on asset balance)
  
  

• Redemption Method: Immediate BTC Allocation (automatically reflected in the trading app wallet)
  
  

• Payment Network: American Express (issued and processed by AMEX)
  
  

• Annual Fee: Included in Coinbase One Monthly Fee (no additional annual fee for the card itself)

While card usage is billed in dollars like traditional credit cards, the cashback is in BTC, creating a unique cash flow of spending dollars/receiving BTC.

2. Competitive Comparison: Gemini, BlockFi, Binance

The crypto asset card market has rapidly expanded since 2021, with the leading Gemini card offering up to 3%, and the BlockFi card providing a fixed 1.5% BTC cashback. With a remarkable rate setting of **4%**, Coinbase aims to

1. attract high-spending users
   
   

2. strengthen the incentive to join Coinbase One
   . While the Gemini card is available across the U.S. on the Mastercard network, with relatively loose conditions to maintain the cashback rate, Coinbase differentiates itself by adopting a "balance-linked" gamification approach.gemini.comcoindesk.com
   
   
   
   

3. User Benefits

1. Automatic Accumulation for Long-term Bitcoin Holding
   Since 4% of the payment amount is accumulated as BTC, there is a possibility that the actual return rate will expand in a rising market.

2. Diversification of Dollar and BTC Assets
   Card usage (consumption) is in dollars, and rewards are in BTC, providing a dual-currency risk diversification effect.

3. Coinbase One's Fee-Free Benefit
   There are no fees for buying and selling within the app, and it is possible to immediately rebalance reward BTC to other assets.
   
   
   
   

4. Potential Risks

1. Tax Costs
   In both the US and Japan, it is necessary to record the acquisition cost at the time of acquiring crypto assets, and if there are many transactions annually, even for small payments, the profit and loss calculation becomes complicated.
   
   
   

2. Price Fluctuation Risk
   If the market falls after the return, the actual return value will decrease.
   
   
   

3. Uncertainty in Legal Regulations
   In Japan, crypto asset reward cards have not yet been approved under the frameworks of the Payment Services Act and the Installment Sales Act.
   
   
   
   

5. Coinbase's Growth Strategy and Card Positioning

In May, Coinbase announced plans forthe launch of the US version of the perpetual swap exchange, declaring a full-scale entry into the derivatives field. The card functions as a frontend to enhance the stickiness of the retail division, while providing fee-based products (derivatives, staking) on the backend, highlighting a "two-stage rocket" strategy.aktiencheck.de

6. Impact on the Japanese Market

6-1. Taxation and Accounting Processing

In Japan, point rewards are not subject to taxation, butcrypto asset rewards are likely to be treated as miscellaneous income at the time of acquisition. For reward services to become widespread, it is essential to establish systems such as the introduction of a "small amount exception" for tax purposes and an annual lump-sum calculation system.

6-2. Issues under the Payment Services Act

The regulatory authority changes depending on whether crypto assets are considered "prepaid payment instruments" or "means of storing exchange value." The credit card industry association is considering formulating guidelines, including consistency with the Installment Sales Act.

6-3. User Acceptance

• The younger generation, with a high rate of cashless usage, is highly sensitive to the "invest while consuming" model.

• Whether the BTC rebate rate exceeds the card's annual fee is the key to its widespread adoption.

• If partnerships with domestic cryptocurrency exchange operators progress,a hybrid model of yen-based payments/BTC rebatesbecomes more realistic.
  
  
  
  

7. Case Study: Simulation of 100,000 Yen Monthly Usage

• Monthly Usage: 100,000 yen

• USD Conversion: 666 USD (assuming 1 USD = 150 yen)

• Rebate Rate: 4% → BTC equivalent to 26.64 USD

• Annual Rebate: 319.68 USD ≒ 47,952 yen
  If the BTC price trends at an annual average of +20%, the actual return is calculated to rise to 5.76% (exchange rate fluctuations, etc., are not considered).
  
  
  
  

8. Conclusion

The Coinbase One Card is a groundbreaking product thattransforms the act of payment into an investment activity. Depending on its success in the U.S., there is a high possibility that the "4% BTC rebate" wave will spread to Europe and Asia.

In Japan, although tax and regulatory barriers remain, a scenario where similar services emerge post-2026 can be envisioned, in line with the government's Web3 promotion policy and the rising discussions on digital yen. The future focus will be on

1. the sustainability of rebate design(funding sources and fee models)

2. simplification of the tax system(reducing the burden of profit and loss calculations)

3. coexistence with existing point economies(such as Rakuten and PayPay)
   , and whether it will mark the "first year of cryptocurrency rewards" is something to watch closely.
   
   

Reference Article List

• DER AKTIONÄR, "Bitcoin beim Einkauf erhalten? – Coinbase macht’s möglich", June 13, 2025. aktiencheck.de

• Gemini, "Earn Crypto Rewards with the Gemini Credit Card", June 2024. gemini.com

• CoinDesk, Danny Nelson, "Coinbase Debit Card Now Works With Apple Pay", June 1, 2021. coindesk.com

Reference Article