Robinhood Wallet and Fomo’s support for purchasing meme coins via credit cards has sparked controversy, amid suspicions that the platforms are circumventing credit card crypto transaction rules.

Robinhood Wallet and the Fomo app allow users to directly purchase meme coins via Visa or Mastercard credit cards through Apple Pay or Google Pay, with no identity verification required throughout the process, and transactions can earn regular credit card points or cashback—a feature that has sparked controversy. The service is provided by crypto infrastructure firm Crossmint, whose Token Checkout product categorizes meme coin transactions under MCC 5815 ("Digital Goods, Media") instead of cryptocurrency purchases. This category was originally intended for goods like e-books and digital movies. JPMorgan Chase, the card issuer under JPMorgan, stated after an investigation that Visa transactions were not marked as cryptocurrency purchases. The bank considers the MCC code misused, meaning the transactions should not qualify for points, and has filed a case against Visa over the issue. Meanwhile, the New York State Attorney General’s Office is aware of the matter and reviewing it. Crossmint insists the classification is reasonable, citing the SEC’s prior statement that certain meme coins can be considered "digital collectibles" in a securities context, and referencing an example in a joint SEC-CFTC guidance that lists WIF as a digital collectible. Payment experts note that card network rules and SEC guidance are "two completely separate systems." Visa and Mastercard have clear MCC 6051/6012 coding requirements and special labeling rules for direct cryptocurrency transactions, and these are not waived due to a "collectible" classification.