Most crypto cards require you to hand assets to an issuer. ether.fi Cash lets the collateral stay in your own restaking position while the card borrows against it, which combines self-custody with spending in a way almost nothing else does.
How it works
Your weETH or other supported collateral remains in a position you control. Card spending draws credit against it, with the debt repayable in stablecoins or settled against the collateral. In debit mode, spending draws from a stablecoin balance instead.
The liquidation exposure
Credit mode against volatile collateral is a margin position by another name. A sharp fall in ETH can push the loan-to-value ratio past the liquidation threshold, selling collateral to cover purchases you made weeks earlier. Anyone using this should maintain a large buffer and understand that convenience and leverage are being bundled together.
Costs and rewards
Tiered subscription pricing with cashback that is meaningful on higher tiers, plus borrowing interest in credit mode. The economics work best for users who would hold the collateral anyway.
Who should use it
ether.fi users who want to spend without unwinding staked positions, at conservative loan-to-value ratios, in supported regions. Its 2024 launch means the track record is short.