Mercadolibre, the largest e-commerce site in Latin America, is stepping up its bet on cryptocurrencies after several successful experiences.
Now, an executive has announced that within the next few weeks the company will enable a service for buying, selling and saving cryptocurrencies, initially available to its customers in Brazil.
New cryptographic services for Brazil
According to Bloomberg, Tulio Oliveira, vice president of MercadoPago, explained that Mercadolibre has its eyes on cryptocurrencies as a potential focal point for the development of its financial arm.
“We took the time to study and learn before deciding to enter the crypt. This has the potential for transformation ahead of us and opens up a new path for us ”.
The company's idea is to start exploring the Brazilian crypto scene and then extend its service to other countries.
The crypto wallet is very advanced. It has made it through beta with no major issues and will be ready for launch very soon.
Although Mercadolibre was founded in Argentina, the decision to start with Brazil makes sense. With nearly 11 million users, Brazil is the company's main market. Additionally, Brazil has the strongest economy in the region and is a relatively cryptocurrency-friendly country. A recent poll revealed that 48% of the population is pro-bitcoin.
Currently, Brazil has approved four cryptocurrency ETFs, with HASH11 tracking the Nasdaq Crypto Index, which is the most popular tech ETF among Investors. Several fintechs offer support for cryptocurrencies.
Crypto.com also recently selected Brazil as the first market in South America to receive its cryptocurrency-backed Visa debit card.
Mercadolibre has a crypto-fiendly soul
MercadoPago is Mercadolibre's fintech firm. Currently, the company offers various services for banked and unbanked in Brazil, such as credit cards, debit cards, POS and a digital wallet. While no further details have been provided about the cryptocurrency service, it is possible that it will be integrated into the Mercadopago platform.
The e-commerce giant is no stranger to the world of cryptocurrencies. In May 2021, the company revealed that it acquired $ 7,8 million worth of Bitcoin as part of its treasury strategy.
Likewise, MercadoPago was a founding member of the infamous Libra Association, a Facebook-led crypto initiative that was unsuccessful after being the subject of heavy criticism from regulatory bodies.
MercadoLibre's service would serve as a gateway to the world of cryptocurrencies for over 10 million new users in Brazil and more than 200 million users across Latin America. For reference, Statista data reveals that Amazon ranks second in Mexico behind Mercadolibre.
