Any company issuing a cryptocurrency debit card will face an uphill battle these days. More specifically, there have been new restrictions by both Visa and Mastercard when it comes to issuing such cards outside of the EEA. In a surprising turn of events, Monaco – who recently held a cryptocurrency ICO – got their card approved by Visa. An interesting turn of events, although there are some caveats

Monaco Gets Visa Approved in Singapore

There is always a caveat whenever news stories like these break. While it is true Monaco has received approval from Visa to effectively issue their cryptocurrency debit cards, there are certain limitations to take into account. For the time being, this card can only be issued to people living in Singapore. It is not necessarily the course of action the Monaco team would have liked, even though it is still a very important first step when looking at the bigger picture.

Having the approval of Visa is a big step for any company looking to bridge the gap between cryptocurrency and traditional finance. Although there are many different card providers who operated without any issues, they will be cut off from customers outside of the EEA very soon. It seems Monaco is well underway to buck this trend, even though Singapore is just one country in a very long list of regions to support moving forward.

It is also worth noting the Monaco debit card is not directly issued by Visa. Nor would it be possible to do so, as the startup has a third-party issue to take care of these issues. This is the same for any current and future cryptocurrency debit card, as they will all have to go through third parties for regulatory compliance. In the case of Monaco, that partner is Wirecard AG, a well-known financial entity all over the world.  However, Monaco is still the “program manager’ of the card. 

There is a good reason why so many different cryptocurrencies and digital assets want to partner with Visa in one way or another. Cryptocurrency remains incredibly difficult to spend without intermediary tools. Debit cards have become increasingly popular among cryptocurrency enthusiasts over the past few years. Converting these assets into fiat currency and spending them at over 44 million merchant locations is a big step forward.

According to Monaco sources, Singapore is only the starting point. They confirm the global rollout of this card is still part of the agenda, although it remains to be seen how things will play out. Investors in the Monaco ICO were initially pleased with the news, although the token has seen a sharp correction shortly afterward. It is unclear if this was driven by the Bitcoin price trend or not, but it is certainly possible the “limited” rollout makes some investors wary.

Whether or not Monaco will succeed in their global mission, remains to be seen. This initial approval certainly paves the way for more successes down the line. For now, it is important to see this announcement in the right perspective. The card can only be issued to people in Singapore right now, which means a lot of people will have to wait their turn. No timelines have been provided as to when regulatory approval will be given to issue the card in other parts of the world.