Aven Launches Bitcoin Visa Card With $1M Credit Line

TLDR

• Aven’s Bitcoin Visa Card offers up to $1M in bitcoin-backed credit
• Bitcoin Visa Card brings 7.99% APR and loan terms of up to 10 years
• Aven links bitcoin collateral to daily spending through Visa card rails
• BitGo will custody bitcoin collateral for Aven’s new Visa card product
• Aven’s Bitcoin Visa Card adds 2% cash back and no annual card fees

Aven has launched the Bitcoin Visa Card with a bitcoin-backed credit line of up to $1 million. The product adds long-term crypto-backed borrowing to its asset-backed card model. Besides, it links bitcoin collateral with daily spending through a Visa-issued card.

Bitcoin Visa Card Adds Long-Term Credit Option

The Bitcoin Visa Card gives borrowers access to fixed-rate loans backed by their bitcoin holdings. Aven set the loan term at up to 10 years.  The company listed the annual percentage rate at 7.99%.

The structure differs from many bitcoin lending products currently available in the market. Aven said most bitcoin-backed loans carry rates of 10% or more.  It said many providers limit loan terms to about 12 months.

Borrowers will place bitcoin collateral with BitGo, which will handle custody for the product. The Bitcoin Visa Card will then provide credit based on that collateral. Hence, users can access liquidity without selling their bitcoin holdings.

Aven Expands Asset-Backed Card Model

Aven founded its fintech business in 2019 with a focus on asset-backed credit cards. The company uses assets such as securities and home equity to support consumer credit. Now, the Bitcoin Visa Card extends that model into digital assets.

The card follows Aven’s broader approach to lowering borrowing costs through collateral-based lending. The company says its platform reduces interest rates by up to 50%. It claims users have saved $300 million in interest since launch.

Coastal Community Bank, a Washington state-chartered bank, will issue the Bitcoin Visa Card. The card carries no annual fee and no origination fee. Besides, it offers unlimited 2% cash back on purchases.

Bitcoin Lending Push Targets Broader Borrowers

The Bitcoin Visa Card enters a market where crypto-backed lending often uses short maturities. Aven aims to make bitcoin-backed credit look more like traditional secured lending. The fixed-rate and fixed-term model could appeal to borrowers seeking predictable costs.

The launch also shows how fintech firms continue merging crypto assets with consumer credit products. The Bitcoin Visa Card connects bitcoin ownership with everyday payment rails. Visa acceptance gives the product broader spending utility.

Aven’s rollout adds another use case for bitcoin beyond trading and long-term holding. The Bitcoin Visa Card lets borrowers keep exposure while using collateral for credit. The product places bitcoin-backed lending inside a familiar card format.

The post Aven Launches Bitcoin Visa Card With $1M Credit Line appeared first on CoinCentral.