MercadoLibre, through its Mercado Pago arm, plans to sell Bitcoin in all Latin American countries soon. From 2021, Brazil was the first country to receive the solution and quickly saw 1 million customers in operation.
With the data published at the end of February 2022, Mercado Pago showed the great interest of Brazilians in operating with cryptocurrencies.
To enable its operation in the country, the company partnered with Paxos, a US company that is regulated in that country. Mercado Pago customers can buy Bitcoin, Ethereum Y Pax Dollar (USDP).
Mercado Libre will sell Bitcoin throughout Latin America after success in Brazil
After the success of the operation in Brazil, Mercado Pago decided to expand its operations in the cryptocurrency market.
Positioned as one of the largest companies in Latin America, with a presence primarily in Brazil and Argentina, MercadoLibre is now expected to sell Bitcoin throughout Latin America, following the same model as the partnership with Paxos.
in conversation with The countrythe president of Fintechs of Mercado Libre, Osvaldo Giménez, confirmed the expansion of services, although he did not give a date of when it will occur.
In any case, with 38 million active users in the Mercado Pago service, the potential for cryptocurrency adoption remains high in Latin America.
High inflation and the dollar, in addition to being unbanked, is what drives the expansion of the service forward
In order to reach more Latin American countries, Mercado Libre observed a similar reality in its neighbors, which is the increase in inflation. Thus, many people seek refuge in cryptocurrencies and Mercado Pago hopes to help in the process.
Another point analyzed by the company is the rise of the dollar in relation to local currencies. Since Mercado Pago sells the cryptocurrency USDP, paired in USD, the expansion of the service may lead its clients to seek this exposure.
A common problem among Latin American countries continues to be the lack of access to banks by the population, the so-called unbanked. With the Mercado Pago solution, allied to cryptocurrencies, the company hopes to bring more people closer to the digital economy.
For Osvaldo Gimenez, by offering investments in cryptocurrencies to clients, they have the option to diversify their portfolio. The executive recalled that these investments are still small, but it is important to offer the service.
For the near future, Mercado Pago analyzes the scenario of Mexico and Chile, countries that have presented business opportunities for fintechs in the region.