Mastercard and Bitget launch a card that spends crypto like cash

Mastercard and Bitget Wallet have partnered to launch the “zero-fee” crypto card, allowing users to spend their crypto directly from their digital wallets at over 150 million Mastercard merchants worldwide.

The card even works with stablecoins like USDC to protect users from Bitcoin and Ethereum’s big price swings. With no fees, the project could benefit regions with unstable currencies or limited access to financial services, as it promises a future where anyone, anywhere, can pay with crypto as easily as they pay with cash or a card.

However, there are still costs involved that might not show up clearly to users at the moment of payment, possibly through exchange rates, ATM fees, or blockchain network fees that depend on how busy the system is.

Mastercard calls it a win for innovation, and Bitget says the project makes crypto more useful, but critics warn that calling it “zero-fee” will mislead first-time users who don’t fully understand how crypto works.

Mastercard and Bitget launch a card that spends crypto like cash

The Mastercard–Bitget wallet crypto card results from a partnership between the global payment giant, Mastercard, a non-custodial crypto wallet, Bitget, and a licensed card issuer that handles the on-chain conversions and regulatory requirements, Immersive. 

Users can pay for goods and services at any physical or online store that accepts Mastercard without moving the funds manually, waiting for exchanges to clear transactions, or using multiple apps to make a simple purchase. 

The approval process takes a few minutes and involves basic KYC verification and a small issuance fee, currently set at 10 USDC. Users don’t have to pay application or annual fees for the card, nor do they need a credit check or a bank account. They received a virtual version of the card instantly once approved and can also get a physical card upon request. 

Mastercard and Bitget are currently issuing the card in the United Kingdom and the European Union, but have announced plans to expand into Latin America, Australia, and New Zealand soon.

“Zero-Fee” does not mean no costs at all

Bitget Wallet and Mastercard’s promise of a “zero-fee” crypto card sounds exciting because there are no barriers to entry, such as application fees, paperwork processing, or minimum balance requirements. Similarly, Bitget Wallet’s “GetGas” feature subsidizes or completely waives initial gas fees for new users and offers ongoing discounts for specific types of transfers (such as TRON USDT).

In addition, the first 2,000 cardholders will get 5% cashback in BGB tokens in their first month and profit from staking idle stablecoins like USDC directly from the wallet.

Several critics say some fees are simply hidden deeper in the system or show up in less obvious ways. For example, the exchange rate used for crypto-to-fiat conversion could include a small markup that acts as a silent profit margin for the service provider (a “spread”).

Users will still pay a cost to convert crypto to their local currency, even though they may not see a charge line in their transaction history.

ATM operators or Mastercard’s payment network in foreign countries will likely also charge for withdrawals, and transaction fees may apply when spending in different currencies, depending on the user’s region, the card’s issuer policies, and local banking regulations.

To top it all off, users transacting on higher-cost blockchains like Ethereum could pay several dollars per transaction during network congestion once the incentives expire. Bitget only subsidizes some gas fees to specific chains or tokens during the promotional phase.

The term “zero-fee” sounds exciting in marketing, but the reality often depends on how a person uses the card.

You may experience something close to zero fees if you transact mostly in USDC on the Base chain, shop with online merchants in the same country, and never use an ATM. But you’ll pay far more than expected if you shop across borders, switch assets frequently, or interact with other networks.

Rules and security could slow down adoption

The “zero-fee” card feels more reliable than many earlier crypto payment experiments that lacked such oversight due to Mastercard’s long track record in global payments and its strict compliance protocols. Yet, there are concerns about how secure and future-proof this new product is because the legal and regulatory landscape for crypto payments is far from settled.

For starters, the expected Markets in Crypto-Assets (MiCA) framework in the European Union will introduce strict rules for companies that deal with digital assets, especially stablecoins. Stablecoin users must meet reserve requirements, publish whitepapers, and register with EU regulators.

The exact interpretation of MiCA may require Bitget, Immersve, or even Mastercard to change how they handle custody, transaction settlement, or disclosure practices, even though the Bitget Wallet card currently supports USDC.

The situation is more fragmented outside the EU, as countries have completely different standards for Know Your Customer (KYC) and Anti-Money Laundering (AML) rules. Some users may face sudden disruptions if local rules change, while others may not complete the identity checks needed to activate their card. 

Similarly, giving out detailed personal information just to spend crypto might feel like a step backward for users who value privacy or live under strict regimes.

Bitget Wallet is also non-custodial, meaning users control their private keys and funds, but it also puts responsibility squarely on the user. There may be no way to recover funds if you lose access to their wallet, forget their recovery phrase, or fall for a phishing scam. The risks multiply in countries with low digital literacy or limited consumer protection laws.

Bitget may have a large user protection fund, reportedly worth over $300 million, but they haven’t said when and how those funds would be used to reimburse users in case of fraud, technical error, or regulatory shutdowns.

The card still operates in a space regulators struggle to fully define, even with Mastercard’s extensive infrastructure and compliance team involved. What’s compliant today might not be compliant tomorrow. For instance, Bitget and its partners could be forced to redesign the entire payment process if the U.S. introduces its own version of MiCA, or if a court reclassifies USDC or other stablecoins as securities.

There’s no guarantee that this product can remain stable and usable long-term unless it continuously adapts to the fast-changing legal environment.

Mastercard and Bitget may benefit more than users

There are moral concerns about whether this is truly a democratizing tool or a privilege for high-volume traders and loyal customers because the card’s initial exclusivity was limited to Bitget VIP users by invitation only when it launched.

The controlled launch suggests the card may first serve Bitget’s interest in reinforcing user loyalty and collecting transaction insights from its most valuable customer segment. 

The card’s design also creates strong incentives that tether users more tightly to the Bitget ecosystem, especially new users unfamiliar with the broader crypto landscape, or prefer convenience over independence.

Every crypto-to-fiat transaction processed through Mastercard’s network reinforces the company’s role as a trusted middle layer. It gives it data about how crypto users behave, such as what they spend, where they spend it, how often, and through which assets. 

So, who really wins? Users get instant access, a slick user experience, and rewards for participation.

Bitget also wins by locking in user loyalty, expanding its footprint in new markets, and growing its native token.

Mastercard perhaps wins the most by embedding itself into the future of crypto payments and collecting data to shape the next generation of financial products.

However, the promise of decentralization begins to fade if crypto cards replace banks but rely on the same central intermediaries. And while users may enjoy “zero fees,” they may end up paying with their privacy, flexibility, and future choices. 

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