Coinbase partners with WeGift to enable crypto spending at retailers

Cryptocurrency exchange Coinbase is partnering with digital gift card provider WeGift to simplify paying for physical goods and services with cryptocurrencies, City A.M. reported.

Founded in 2015, WeGift is a U.K.-based startup that delivers open value, real-time digital gift cards, on demand.

With this partnership, Coinbase users would be able to buy electronic gift cards and load these using cryptocurrencies from their Coinbase wallets. These gift cards can then be used at more than 120 retailers such as Tesco, Uber, Amazon and John Lewis.

The move will accelerate mainstream adoption of cryptocurrencies by enabling users to spend their crypto holding at retailers, which do not normally accept crypto payments.

"Whether it’s converting bitcoin into Uber credits or ethereum into an ASOS e-gift card, customers will have greater flexibility and control over how they use their crypto," Zeeshan Feroz, CEO (UK) at Coinbase, said in a statement.

There would be no fee for purchasing the digital gift card. In addition, users can also receive bonus credit on the card, ranging from 1 to 15 percent, at select retailers.