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Crypto Rewards vs Points vs Miles: What’s Better?
Compare crypto rewards, points, and miles to see which credit card rewards offer the best flexibility, value, and long-term potential for your spending habits.
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Updated January 13, 2026 • 3 min read
Summary
Key Takeaways
1. Crypto rewards generally offer greater flexibility and liquidity, however can introduce volatility.
2. Points and miles focus on more predictable value, but may end up being less valuable.
3. The best reward type for you depends on how you spend, redeem, and manage long-term value.
Credit card rewards generally fall into three categories which are crypto rewards, traditional points, and airline miles. While they can look fairly similar at first glance, they behave very differently once they are earned.
Understanding these differences can help you decide a rewards structure that best fits your spending habits.
Understanding the Three Reward Models
Each reward type is built around a different idea of value. Crypto rewards are asset-based, points are centrally managed credits tied to an entity or platform, and miles are optimised for travel-specific redemptions.
It’s important you know what the best reward type is for you, and make sure that you’re earning the right kind of rewards through your spending
How Do Crypto Rewards Work?
Crypto rewards are typically earned as a result of spending using a crypto debit or credit card and are paid in digital assets such as bitcoin, ether, stablecoins, or any other kind of crypto. These rewards tend to be credited to your custodial account after a payment has been confirmed.
As the rewards are paid in crypto, . This creates some risk, but also adds the potential for your rewards to be worth more as you hold them over periods of time. Unlike points and miles, crypto rewards typically also have the benefit of being transferable or spendable outside the issuing platform. Points and miles on the other hand are usually required to be spent with the issuing vendor.
You can earn crypto rewards in a variety of different tokens through everyday spending .
How Do Points And Miles Work?
Points and miles are issued and controlled by loyalty programs tied to banks, retailers, or airlines. They usually have fixed redemption values or award charts, making them easier to plan around. However, they are almost always locked into the issuer’s ecosystem and subject to program rules.
Despite their limitations, traditional rewards remain popular for a number of reasons. These include:
Redemption values are highly predictable and do not fluctuate.
Programs often include perks like upgrades or bonuses.
Comparing Liquidity, Flexibility, Predictability, and Upside
Liquidity refers to how easily rewards can be turned into usable value. are generally the most liquid, while points and miles are more constrained. This difference becomes important if you want rewards that aren’t tied to one brand or redemption path.
Points and miles prioritise stability, offering consistent value that doesn’t fluctuate daily. Crypto rewards on the other hand offer the potential for appreciation, which can benefit users comfortable with market swings. The right balance depends on your own needs around the value of rewards.
All reward systems also have costs. Crypto rewards may involve conversion/network fees, while points/miles might face abrupt devaluation and restrictive rules set by the issuer. Crypto rewards offer direct asset ownership of the rewards you earn.
Getting Started with Crypto Rewards
If you wish to start earning crypto rewards on your everyday spending, it can be simple to get started. Most crypto reward cards will require identity verification and a linked platform account. Once approved, rewards are typically credited automatically based on spending.
You don’t need any manual strategy to earn crypto rewards, but some important things to bear in mind are:
Try to use the same card for most of your spending to maximize the benefit of your rewards card.
Think about , and how you might make the most of them. For example, staking ether you earn as a reward could further increase the returns on your spending.
Make sure to keep track of your spending and be aware of any tax implications there may be in your jurisdiction.
The Bottom Line
, points, and miles all serve different purposes. Crypto offers flexibility, potential upside, and true ownership over your rewards. Points and miles on the other hand deliver simplicity, and predictable value. The best choice is the one that aligns with how you actually spend, and what you intend to use your points for.
FAQs (Frequently Asked Questions)
What are the tax implications of earning crypto rewards?
When you receive crypto rewards, the fair market value is typically taxed as ordinary income. It’s important to check your tax liabilities for your local jurisdiction and make sure you keep a log of your transactions.
Can I convert points or miles into cryptocurrencies?
Direct conversion from most traditional points and miles programs into cryptocurrencies is not common. Typically, points and miles are required to be spent within extremely specific parameters set by the issuing entity.
Are crypto rewards safer than traditional points or miles?
Crypto rewards benefit from the transparency offered by blockchain technology. Yet, they can also involve increased price volatility which is not the case for points and miles. The right choice depends on your own personal preference of reward type.
How do I maximize rewards based on my spending habits?
To get the most out of your rewards, select a card that provides the best returns for your primary spending categories and your preferred reward type. If using crypto rewards, consider using your earned digital assets for activities such as staking to maximise their potential growth.
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