Spend Any Crypto

One of Encrypto's core technical advantages is the ability to spend virtually any crypto asset at point of sale — not just stablecoins. If the asset has sufficient on-chain liquidity, you can spend it.

The Liquidity Problem

Most crypto cards require you to pre-convert your assets to a stablecoin or fiat before spending. That means if you're holding ETH and want to buy dinner, you need to:

1. Decide how much ETH to sell
2. Execute a swap (pay gas + slippage)
3. Wait for the stablecoin to land in your card's funding account
4. Then spend

This is slow, expensive, and creates unnecessary tax events. Every manual swap is a taxable disposition.

How Encrypto Solves This

Encrypto's Liquidity Engine handles all of this at the point of sale, in real time.

When a card transaction comes in:

1. Portfolio scan. The engine checks what assets the user holds and their current balances.
2. Liquidity analysis. For each asset, the engine queries aggregated DEX liquidity to determine if the asset can be converted at an acceptable rate.
3. Path optimization. The engine selects the optimal swap route — direct pair, multi-hop, or cross-DEX — based on price impact, gas cost, and execution speed.
4. Slippage protection. If the best available execution exceeds the user's slippage tolerance (default 1%), the engine falls back to the user's USDC balance or rejects the transaction.
5. Atomic settlement. The swap and settlement happen atomically. Either both succeed or neither does. No partial fills, no stuck transactions.

User taps card ($50 purchase)
    │
    ▼
Liquidity Engine
    ├── User holds: 0.5 ETH, 200 USDC, 1000 MATIC
    ├── Best route: ETH → USDC via Uniswap V3 (0.02% impact)
    ├── Amount needed: 0.0145 ETH → 50.00 USDC
    ├── Slippage: 0.02% (within tolerance)
    └── Execute: swap + settle atomically
    │
    ▼
Card authorized. User sees: "$50.00 — Uber Eats"

The user doesn't see any of this. They just see a card transaction.

Risk Parameters

The Liquidity Engine enforces strict risk parameters to protect users from poor execution:

Parameter	Threshold	Rationale
Max slippage	1.0%	Prevents excessive price impact on illiquid pairs
Min pool TVL	$50,000	Ensures sufficient depth for execution
Max execution time	3 seconds	Card authorization timeout constraint
Price staleness	< 15 seconds	Prevents stale oracle-based execution
Max single-trade impact	0.5% of pool	Prevents market-moving transactions

If any parameter is violated, the engine skips that asset and attempts the next-best funding source. If no asset meets the criteria, the transaction falls back to the user's USDC balance.

Supported Assets

Any ERC-20 token with DEX liquidity on supported chains is eligible. This includes but isn't limited to:

• Major L1s: ETH, SOL, AVAX, MATIC
• Stablecoins: USDC, USDT, DAI
• DeFi tokens: UNI, AAVE, LINK, CRV
• L2 tokens: OP, ARB, BASE ecosystem tokens
• Memecoins: With sufficient liquidity (thresholds apply)

The list is dynamic — if an asset has $50K+ TVL on a supported DEX, it's spendable.

Tax Considerations

Each asset conversion at point of sale may constitute a taxable event depending on your jurisdiction. Encrypto provides transaction-level reporting with cost basis data to simplify tax preparation. We recommend consulting a tax professional for your specific situation.