How to buy food with Bitcoin?

How to buy food with Bitcoin?

Bitcoin (BTC) is a dynamic monetary asset with the potential to be both – a commodity and a currency. For example, the Securities and Exchange Commission (SEC) classified BTC as a commodity, while El Salvador made Bitcoin legal tender in 2021.

So does this make BTC a store of value or a medium of exchange? It can do both – On the one hand, BTC can be added to government coffers as an inflation hedge. On the other hand, it can also serve the retail purpose of paying for routine expenses.

Almost over a decade ago, the first person to use Bitcoin for a business transaction was Laszlo Hanyecz, who spent 10,000 BTC on two pizzas, or as the crypto community addresses it, the Bitcoin Pizza. However, that’s not the amount of BTC anyone needs to actually buy food in the real world now. Why? Because customers have realized to only pay the amount the product is worth, no more, no less.

This article will discuss various ways one can buy food using Bitcoin. From crypto debit cards and gift cards to crypto portals for food delivery, this article will describe all possible options for effectively using cryptocurrency to eat a meal.

Different ways to buy food using cryptocurrency

There are a few ways to buy food with Bitcoin, depending on the user’s needs and interests. After that, these are the three most common ways to use cryptocurrency for daily expenses like food:

Crypto card

Crypto cards are like regular debit or credit cards, but crypto cards allow the customer to use their crypto to make payments. They essentially withdraw crypto from the user’s wallet and transfer fiat at the merchant’s end.

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It helps users pay routine bills through crypto without the complexity of finding retail outlets that accept crypto payments. Moreover, today many crypto card companies offer mobile apps that make it easy for the customer to use Bitcoin anywhere.

Crypto gift card

Customers can purchase gift cards for several food and delivery services using cryptocurrency. They can then redeem said gift cards to pay for their meals in digital currencies. Crypto gift cards facilitate the sale and purchase of goods from participating merchants to customers using cryptocurrency. There are a number of companies that offer gift cards, so it is easy to find one that suits the user’s needs.

Crypto portals for food delivery

Crypto food delivery sites are connected to many food and beverage outlets in various regions. It is like a website or application to order food from nearby restaurants and pay the platform via crypto instead of paying the food vendor.

How to buy food using a crypto card?

Cryptocards allow Bitcoin transactions on various objects in the physical world. However, to use BTC via a crypto card for daily needs like food, consumers must follow certain steps:

  • The first step is to set up a digital wallet, along with a merchant account. Given that there are several crypto cards available in the market. Therefore, it is ideal to research the options and choose one that meets the respective user’s needs and budget.
  • Register by downloading the app and completing the Know Your Customer (KYC) requirements. Registering for the card and creating an account with the provider will allow the user to efficiently access their funds and make purchases online or in store.
  • Users can set up a spending limit along with scheduling regular deposits into their accounts.
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Almost all crypto cards allow customers to instantly convert crypto to fiat. Still, how to choose a crypto card that suits a person’s goals? While some customers may prefer cash-back rewards, others may gravitate toward providing services.

Many cards are suitable for regular shoppers as they act as shopping rewards cards that allow users to earn cash back on purchases. Following this, some cards also allow users to earn interest on crypto held in the account.

Furthermore, while accessing the utility of a crypto card, be sure to look for support for multiple coins. The crypto card should ideally support several cryptocurrencies, such as BTC, Ether (ETH) and Litecoin (LTC).

Companies offering crypto credit cards include BlockFi and Gemini. However, several companies offer crypto debit cards, such as Coinbase, Crypto.com, BlockCard, Binance Visa Card and BitPay.

How to buy food with a crypto gift card?

Crypto gift cards are loaded with digital funds that can be spent at any participating restaurant or store. They are easy to use and provide customers with a convenient way to spend their cryptocurrencies. Here are some steps to get you started:

Procedure for buying food with a crypto gift card

Brands like Amazon and Walmart don’t accept Bitcoin directly, but they do accept crypto gift card services. After this, to pay directly for food in BTC using a crypto gift card, users can use Bitrefill. It is a website that offers gift cards, prepaid mobile top-ups and Bitcoin Lightning Network services for over 1600 products in 170 countries.

How to use crypto food delivery portals?

Crypto food delivery portals are not drastically different from using crypto gift cards. Both connect the user to merchants who accommodate the use of crypto services for payments. After this, the steps are also quite similar – choosing a platform, registering and loading your wallet with funds.

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Furthermore, customers have various options for using a crypto delivery portal to purchase food. From simply buying food with cryptocurrency to buying groceries on credit and then paying off those purchases with cryptocurrency, both make crypto delivery portals convenient for crypto payments.

Platforms that allow users to order food directly from restaurants and then pay for it in cryptocurrency, like Hungry? in the UK, Sprigz in the US, BiteMyCoin in Australia and Eats24/7 in Canada, could be an alternative way to order food using cryptocurrencies.

Should you buy food with crypto?

There is no black-and-white answer to whether users should choose crypto payments to buy food. However, there are both advantages and disadvantages to using cryptocurrency for food purchases.

On the plus side, cryptocurrency transactions are generally quick and straightforward. After this, given that cryptocurrency transactions are recorded on the blockchain, it makes the process of tracking the history of transactions efficient. Furthermore, crypto payments connect the customer directly to the merchant, eliminating the need for intermediaries such as banks.

On the flip side, crypto payments pose a threat of money loss via hacks. In addition, the digital asset class is also highly volatile, which can lead to difficulties in completing day-to-day transactions. So users need to do their research before using cryptocurrency as a medium of exchange for daily expenses.