Lemon, a crypto exchange with over 5.5 million users in Argentina, announced the launch of Argentina’s first “Bitcoin-backed VISA credit card.” The new product will allow users to lock up BTC as collateral to access peso credit lines without selling their coins.
The card operates on a foundational level with defined parameters in its initial phase. Users are required to deposit 0.01 Bitcoin as collateral, which currently equates to approximately $900. In exchange, they receive a credit card denominated in pesos with a limit of $1,000,000.
This system allows Bitcoin to be held as collateral without being sold or converted into local currency. The product also grants users access to peso credit without the need for a bank account or credit history, aiming to transform long-term Bitcoin savings into a tool for everyday financial transactions.
“The idea is that the user can keep their bitcoin as long-term savings and, at the same time, access credit in pesos to cover their daily expenses,” the company stated.
Lemon Visa Credit Card Offers Commission-Free Purchases of Digital Dollars
The launch includes a series of exclusive benefits for those who apply for the Lemon Visa credit card. These benefits include commission-free purchases of digital dollars, Bitcoin, Ethereum, and over 30 other cryptocurrencies. However, this perk is applicable only to purchases, not to exchanges or sales.
Users will also receive early access to new products and app features. Additionally, they will benefit from individual support through Telegram, a newsletter featuring market news, and a portfolio overview with profit and loss (P&L) tracking.
For the initial three months following the launch, Rootstock, the protocol that enables the development of applications on the Bitcoin network, will waive the card’s maintenance fee. After this introductory period, the maintenance fee will be approximately $7,500 per month. This fee will be waived for users who purchase more than $150 worth of cryptocurrency per month.
Meanwhile, users can purchase Bitcoin starting from $100 by depositing pesos via CBU or CVU and navigating to the “Exchange” section within the app. It is also possible to deposit BTC from other wallets through the Lightning Network, Bitcoin’s native network, Rootstock, and BNB Chain (BEP-20).
Existing Lemon users can spend pesos on everyday purchases using QR codes or the Lemon Visa card and receive Bitcoin for each transaction made.
The company has announced plans to adjust its own backup amounts and credit limits in the future. They are actively developing a solution that will allow purchases made in dollars to be paid for directly in digital dollars, utilizing stablecoins such as Tether’s USDT and Circle’s USDC.
Lemon Declares Bitcoin as the Most Held Asset for Savings
Argentines have a deep-seated distrust of banks, stemming from a history of repeated devaluations and the “corralito” deposit freeze in December 2001, which led to the loss of savings. This historical context has prompted many households to hold wealth in dollars rather than in peso accounts.
According to reports citing official data used in Argentina’s International Monetary Fund program, Argentines hold approximately $271 billion in undeclared dollars, which are kept “in mattresses and overseas bank accounts,” completely outside the formal financial system.
Previously, President Javier Milei’s “Fiscal Innocence” tax amnesty initiative encouraged close to 300,000 savers to declare over $20 billion. Despite this, some citizens have managed to continue concealing their savings elsewhere. In light of this, Lemon aims to convert a favored savings asset into daily spending power, without compelling savers to liquidate their Bitcoin holdings.
The company highlighted that, within Argentina, Bitcoin is the most commonly held asset for savings among Lemon users, surpassing both the dollar and the peso. Marcelo Cavazzoli, founder and CEO of Lemon, stated, “Bitcoin is the best store of value ever created and the cornerstone of the new digital economy.”
Beyond Argentina, several platforms in the United States, Europe, and Brazil offer users the ability to borrow against their Bitcoin or stablecoin positions. However, Lemon’s offering is distinguished by its clear positioning as a Bitcoin-guaranteed, peso-denominated revolving credit product, introduced into a financial environment that is highly dollarized yet remains fragile.