Cardless and Coinbase have introduced a payment card that lets stablecoin holders pledge their crypto as collateral when they cannot qualify for a traditional unsecured credit card, CoinDesk reported.

The product targets applicants who hold digital assets on the exchange but fall short of the requirements that govern conventional credit approval, adding to a widening line of stablecoin-backed credit products the exchange has rolled out over the past year. Cardless, which has facilitated cards for brands including Qatar Airways and Alibaba, said it built the card in conjunction with Coinbase (COIN).

How The Card Works

Applicants set aside a portion of their USDC holdings on Coinbase as collateral against the debt, according to Cardless co-founder Michael Spelfogel. The arrangement covers situations where an issuer cannot approve a regular credit card on an unsecured basis but the applicant holds assets on the exchange. Cardholders pay $49.99 for access and continue to earn yield on the USDC they have sequestered, Spelfogel said. He described a user base that spans the full range of credit profiles, and that some people want to use this method because they believe in cryptocurrency, but they’re just beginning their journeys and accumulating wealth.

In the interview, Spelfogel noted that

“People apply from all different parts of the credit spectrum. There are some people that want to use this method because they believe in cryptocurrency, but they’re just beginning their journeys and accumulating wealth.”

So far, stablecoins have become one of the fastest-growing corners of crypto, threading deeper into mainstream institutions and fintech as their combined market capitalization climbs past $317 billion. Crypto cards have anchored much of that utility, with Visa-issued cards recording a 525% jump in net spend over 2025, rising from $14.6 million in January to $91.3 million by December, according to Dune Analytics data.

Building on the Amex Partnership

The launch extends a partnership that began in September, when the two firms introduced a Coinbase-branded card with American Express (AXP) that offered up to 4% cashback in bitcoin. The card slots alongside the exchange’s consumer payment rails on its Base network, which let businesses accept and settle USDC transactions. Cardless declined to say how many of the Amex-linked cards it has issued.

Cardless frames the move as part of a push to modernize credit programs it considers slow-moving and rigid, arguing that systems designed around banks have left billions on the table because companies lacked the tools to design credit on their own terms. The card extends a stretch in which Coinbase has steadily expanded its stablecoin footprint, a stretch that also saw the company move to deepen its settlement infrastructure through a reported $2 billion acquisition approach for stablecoin startup BVNK, a provider serving institutional clients and fintechs.