Spending Power

In this article you will find detailed information on the Spending Power feature

Valter avatar
Written by Valter
Updated over a week ago

Spending Power allows users to use crypto as collateral to fund their Crypto.com Card. Users can make purchases and withdrawals using their Spending Limit which is based on the current market price of the crypto token that they select to be used as collateral and the Loan-to-Value (LTV) percentage applicable to them.

Who is eligible?

Users in eligible Canada provinces who have set up their Fiat Wallet and have activated their Crypto.com Card can use Spending Power.

Provinces

Eligible Provinces and Territories

Northwest Territories, Ontario, British Columbia, Alberta, Manitoba, Newfoundland, Labrador, Prince Edward Island

Ineligible Provinces and Territories

Quebec, Nova Scotia, Yukon, Nunavut, Saskatchewan, New Brunswick

How do I activate Spending Power?

To activate Spending Power in the Crypto.com App:

  • Open the Menu, tap Spending Power, and follow the on-screen instructions;

  • Go to the Card tab, select Full Card Details, toggle on Spending Power, and follow the on-screen instructions:

How does Spending Power work?

Upon activating Spending Power, you will be granted a Spending Limit based on the current market price of the crypto token that you select to be used as collateral and the Loan-to-Value (LTV) percentage applicable to you.

Crypto held in your Crypto Wallet and Earn accounts may be used as collateral. However, locked up CRO may not be used as collateral.

The amount available to use on your Crypto.com Card will consist of your available Spending Limit and the funds that you top up to your Crypto.com Card as shown below:

When you make a transaction with your card, funds from your Card Top-Ups will be used first followed by funds from your Spending Limit. Funds from your Spending Limit will only be used when there are no more funds from Card Top-Ups available.

The available Spending Limit will be refreshed:

  • Daily at 00:00:00 UTC to reflect the latest market value;

  • When repayment occurs to reflect the new balance;

  • When collateral health reaches Critical (liquidation) and the Spending Limit becomes unavailable;

  • When a purchase or sale of the crypto used as collateral occurs;

  • When locking up or unlocking CRO;

Transactions made using your Spending Limit will not accrue interest until 7 days after each transaction. Thereafter, the amount used will continue to accrue interest until it is repaid.

Can I use Spending Power with my virtual card?

Eligible cardholders can take advantage of the Spending Power feature and use crypto to fund their virtual Card’s purchases and withdrawals. Learn more about Spending Power here.

How do I disable Spending Power?

Go to the Card tab and toggle off Spending Power to disable this service. All Outstanding Balance has to be repaid to disable Spending Power.

Other Relevant Articles:

Did this answer your question?