Swiss cryptocurrency hardware wallet provider Tangem has revealed that more than 40% of its Tangem Pay transactions originate from Latin America, while over 30% come from the United States, highlighting distinct geographic patterns in the adoption of crypto-linked payment solutions even as physical card availability remains constrained in several key markets worldwide.
The figures shed light on the complex intersection between consumer demand for decentralized financial tools and the strict, often fragmented regulatory landscapes governing traditional payment networks. On Wednesday, Tangem officially announced the launch of its first physical Visa card designed to facilitate seamless in-store purchases, online shopping, and ATM withdrawals. The initial rollout of the product is tightly capped, limited to a preliminary batch of just 5,000 cards as the company navigates the logistical and compliance challenges of bridging the gap between blockchain-based assets and fiat payment rails.
According to the company, the innovative payment solution allows users to fund the physical card directly from their self-custodial cryptocurrency wallet. Furthermore, users retain a high degree of control over their funds, maintaining the ability to move their assets safely back to their private wallets should the payment card ever be suspended, deactivated, or closed by the user.
This architecture addresses a fundamental tension in modern financial technology: the desire for absolute financial sovereignty versus the practical requirements of spending in the mainstream economy. "Self-custody removes one major boundary: there is no custodian standing between the user and their assets," Tangem noted in a statement outlining the product release. "लेकिन when those assets enter a regulated payment network, another set of boundaries appears."
Addressing the complexities of global distribution, Andrey Ilinskiy, head of Tangem Pay, emphasized that the availability of crypto-linked payment cards is rarely a straightforward reflection of where users happen to want them. "It is not simply a question of where people want crypto cards," Ilinskiy told Cointelegraph. "It is where demand, regulation, banking infrastructure and card-issuing requirements happen to line up — and today, those maps do not always overlap."
Tangem delivers the cards in nearly 200 countries, excluding only 20
While the geographic reach of the Swiss wallet provider is broad—spanning nearly 200 countries across the globe—physical Tangem Pay cards cannot currently be delivered to roughly 20 jurisdictions. The exclusion list includes prominent nations such as China, Russia, North Korea, and Palestine, illustrating how geopolitical boundaries and localized regulatory frameworks directly impact the distribution of blockchain-adjacent financial products.
The company pointed out that these distribution restrictions do not necessarily mirror the rules governing cryptocurrency ownership or trading itself within those regions. Instead, a complex array of factors dictates where a crypto-linked payment card can legally and operationally be made available. These variables include rigorous Know Your Customer (KYC) regulations, international sanctions regimes, local banking laws, and stringent card-issuing compliance mandates enforced by traditional financial institutions and payment networks.
"The same conditions that can create demand for crypto as an alternative financial rail can make regulated card issuance more difficult," Tangem explained, capturing the paradox faced by fintech providers operating in emerging and heavily regulated markets alike. In regions experiencing high inflation, strict capital controls, or economic instability, local populations often turn to digital assets and stablecoins to preserve their purchasing power. However, those exact economic vulnerabilities and regulatory environments often trigger heightened scrutiny from compliance officers and international watchdogs, complicating efforts to partner with traditional banking institutions for physical card issuance.
As part of its broader product strategy alongside the card rollout, Tangem is also introducing an incentive program offering cashback rewards paid out in Circle’s USDC stablecoin. Under the structure of the rewards program, eligible purchases will yield a 1% cashback rate for Basic users, while Plus users will enjoy an enhanced rate of 2% back in stablecoins.
The company plans to showcase the first physical Tangem Pay cards to the broader technology and blockchain community at the upcoming Token2049 conference in Singapore, providing industry participants with a firsthand look at the integration of self-custodial assets with traditional Visa payment infrastructure.
