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Test purchases of memecoins made with credit cards on Robinhood Wallet and Fomo appeared on statements as "digital media" transactions rather than crypto, the tests showed.
That coding allowed the buys to earn credit card rewards points. Card networks restrict crypto purchases on credit, and the "digital media" classification appears to have routed around those restrictions.
Robinhood Wallet is the self-custody wallet product of Robinhood Markets. Both returned the "digital media" merchant code when memecoins were bought with a credit card, according to the tests.
Card networks maintain rules that restrict or block credit card use for crypto purchases.
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