Tangem, a Swiss crypto wallet provider, has launched its first physical Visa card for in-store and online purchases and ATM withdrawals, with an initial release limited to 5,000 cards. However, the company says current regulatory and banking infrastructure barriers prevent broader global distribution.
According to Tangem Pay's head Andrey Ilinskiy, geographic demand for crypto cards does not align with where regulatory approval, banking infrastructure, and card-issuing requirements converge. More than 40% of Tangem Pay payments currently originate from Latin America, while over 30% come from the US, despite restrictions limiting service availability in many regions.
Tangem cannot currently deliver physical cards to approximately 20 countries, including China, Russia, North Korea, and Palestine. The company noted that these restrictions reflect Know Your Customer (KYC) requirements, sanctions, local banking rules, and card-issuing compliance rules—not necessarily the regulatory treatment of cryptocurrency itself.
The card allows users to fund it directly from their self-custodial wallet and transfer funds back if the card is suspended or closed. Tangem emphasized that while self-custody removes intermediaries between users and their assets, regulated payment networks introduce separate compliance boundaries.
Tangem is introducing cashback incentives in Circle's USDC stablecoin at rates of 1% for Basic users and 2% for Plus users on eligible purchases. The company plans to showcase the first physical Tangem Pay cards at Token2049 in Singapore.
