According to reports from local media, the cryptocurrency exchange Mercado Bitcoin received a payment provider license from Brazil’s central bank on June 2. This license allows the company to introduce its fintech solution, MB Pay, thereby facilitating business expansion and improved customer service, as stated by Roberto Dagnoni, CEO of 2TM, the parent company of Mercado Bitcoin.
As a payment institution, MB Pay has the capacity to provide Brazilian users with a diverse range of digital banking services that leverage crypto assets held on the exchange. These services comprise digital fixed-income investments, staking, and other financial transactions. In addition, the company intends to introduce a debit card that allows users to off-ramp their crypto assets in the near future.
Guide Investimentos, a domestic brokerage firm, had earlier disclosed its collaboration with Mercado Bitcoin to venture into the digital asset market. Mercado Bitcoin’s fintech launch had been planned for 2021, but it was delayed due to the regulatory approval process.
Coincidentally, on the same day, the company was instructed to return over 2,182 Bitcoin, which was valued at $59.3 million at the time of writing, to a group of investors. This was prompted by allegations that a co-founder and former executive had retained funds in a fictitious hack that occurred in 2013.
The significant demand for digital solutions and a population of nearly 214 million have enticed several cryptocurrency firms to Latin America, with Brazil being a particularly attractive market. Binance has previously identified Brazil as one of its primary global markets, and its local partner, Latam Gateway, was recently awarded a payment provider license in the country on May 19. Other crypto exchanges, including Crypto.com and Bitso, have also obtained payment provider licenses in Brazil. oinbase">Coinbase is likewise expanding its presence in Brazil by collaborating with local payment providers since March to offer crypto purchases, as well as facilitate deposits and withdrawals in the local currency.
