The U card is a good thing; if you can accept its fees, then it's perfect. The emergence of the U card has completely solved the problem of sellers having their USDT frozen due to involvement with illicit funds.
What is the U card for?
The main function of the U card is to allow you to recharge USDT onto the card (physical), which can then be used at offline ATMs to withdraw currency from various countries or to make offline purchases using the U in the card, such as grocery shopping.
With the U card booming in the market last year, some shady characters have taken advantage of it to do evil.
1. Fake U card agents
These are small-time scammers who do not have the authority to act as agents for U cards. Seeing a market for U cards, they post ads online selling cards in communities. The reality is that after customers send them money, they won't deliver the card and will directly block and delete the customers.
The price of a U card is generally around two to three thousand. It's not worth reporting to the police if a customer gets scammed; the police won't file a case, and you can only accept your misfortune.
2. Applying for the U card yourself
Some wiseguys see the agent's U card price and want to apply for it themselves. After waiting ten days to half a month to receive the card, they find that the U card has been banned by the official after a short usage. Some discover withdrawal restrictions after recharging.
You pay an intelligence tax and still don't get after-sales service. When you provide feedback on the U card backend, the official customer service replies politely in a few sentences in English and brushes you off. Your issues remain unresolved.
If you can solve the problems yourself, the official doesn't need agents. Some rules in society are targeted at different classes; if you can easily solve the problem, there's no need for others to exist.
3. Using the U card for pyramid schemes
This is simply a scam. The project's promotional materials boast about the U card's security, claiming it's a new era of blockchain payment, digital encrypted funds, and new economic models... At its core, it's just a pyramid scheme that relies on recruiting people. The project has an app where members deposit U, face withdrawal restrictions, and receive daily dividends and bonuses for recruiting others.
The project party doesn't send you a physical U card. Simply put, once the project's funding chain breaks and not enough people join, it will face collapse. If the operator acts unscrupulously, as soon as you recharge, they might not allow withdrawals or could close the app and run away at the peak of funding.
Members who play this game end up losing everything, and most of the project parties running such pyramid schemes are overseas, making it impossible to find them even if you report it. It's no wonder that internet scammers are high-IQ criminals; they even thought of using the guise of a U card to run a pyramid scheme.
4. Virtual U card
There are two types of U cards: one is a virtual card, and the other is a physical card.
The physical card can be linked to Alipay for online purchases and offline withdrawals at ATMs. The virtual card only has one function: it can link to payment B for consumption. However, there's another type of virtual U card that cannot link to VX and payment B for consumption, which is purely a way to exploit novices.
I previously saw a certain 'expert' promoting Dup** virtual U cards online. After applying for a high-level card, I found that it couldn't be linked to VX, ZFB, or other apps for online consumption. If a virtual U card can't be used for online consumption, it's worthless; it's just garbage.
5. Does using the U card violate laws and regulations?
Some lawyers say that using the U card is a disguised illegal currency exchange. Even if the issuer of the U card is a foreign country, according to personal jurisdiction, law enforcement in my country can still regulate it. They are absolutely right.
If that's the case, then coin traders in exchanges are also implicated in these crimes. So, everyone should stop selling U to trade coins, because converting virtual coins into cash would involve these crimes.
Using the U card personally is safe; the only risk is if you unknowingly get involved in illegal U dealings, resulting in the card being banned by the issuer. For individual investors wanting to cash out U safely, the U card is the best choice, as long as you can accept its fees.
