Don’t expect an American Express crypto credit card anytime soon – that’s the latest news from Amex’s chairman and chief executive. The payments giant, one of the largest issuers of credit and charge cards in the U.S., isn’t bending to the pressure from recent moves by competitors Visa and Mastercard.
American Express Not Looking into Crypto Credit Card Rewards
Cryptocurrencies are becoming a popular avenue for credit card rewards, with both Visa and Mastercard investing heavily into crypto-oriented products. Despite the increased focus on crypto, American Express doesn’t appear ready to follow competitors’ lead – at least according to the company’s CEO.
Amex Chairman Stephen Squeri recently told Yahoo that he sees cryptos, like Bitcoin, Ethereum, and others, as assets like gold rather than traditional rewards or cash back. “I don’t see it as really something that’s going to make inroads with a credit card perspective in terms of payments,” he told Yahoo. “Why? Number one, there are still tremendous fluctuations. Number two, you have the service with it. You don’t have the dispute rights with it. You’re not getting rewards, and you are not extending credit.”
Because Squeri and other Amex executives view current cryptocurrencies as more akin to gold, silver, or other commodities, is there a future for crypto with American Express? According to Squeri, the answer is a firm “probably not.” “We have watched government-based digital currencies very, very carefully,” Squeri said. “We are exploring other ways to redeem your membership and rewards points potentially, but I don’t think you are going to see an American Express card linked to cryptocurrency anytime soon.”
Amex Losing Ground on Crypto to Visa, Mastercard
American Express’ move away from crypto is in direct opposition to moves b Mastercard and Visa – both of which are embracing the potential of cryptocurrency rewards. Mastercard unveiled plans to offer crypto integration through Bakkt last week, while Visa continues to invest heavily into cryptocurrency platforms via its Fintech Fast Track program.
Amex, on the other hand, is seeking to make its Membership Rewards cards much more attractive. Both the Platinum Card from American Express and the Business Platinum Card have received significant refreshes in recent months, with new features, statement credits, and annual fees. Additional Amex updates are anticipated in the new year – possibly with the personal Amex Gold and the Business Gold cards.
Related Article: Upgrade Launches Bitcoin Rewards Card