Crypto Card Adoption Rising in Brazil, Say Issuers – LATAM Taking to Crypto?
Crypto credit card adoption is on the rise in Brazil, issuers have claimed, with more Latin American users than ever reportedly buying and spending tokens.
Per the Brazilian media outlet Livecoins, Brazilians are not just buying crypto, but also using coins, instead of fiat, to pay in stores.
The media outlet quoted Binance’s Brazilian head Guilherme Nazar as stating that cards, such as the Binance Card, were “bringing cryptocurrencies into users’ day-to-day lives.”
He claimed that citizens were now “buying bread at the bakery, paying for dinner with friends, and paying for taxi fares” using crypto-powered cards.
Nazar added that the card was helping Binance “meet the demands of [its] local users.”
The exchange giant further claimed that “most” crypto cardholders use their coins to pay in supermarkets or grocery stores.
Binance also claimed that Brazilians spend their crypto on public transport, as well as streaming service subscriptions.
And, the firm said, customers also pay bills in cafes and restaurants in crypto.
Crypto cards typically make use of fiat-to-crypto technology that ensures vendors receive fiat, while customers use funds from their crypto wallets.
Not Just Brazil? LATAM Crypto Adoption Growing
The exchange added that in Argentina, a “significant” number of users were using crypto to pay in supermarkets, cafes, and restaurants.
And more Argentinians than Brazilians tend to use crypto to pay in retail stores.
They also tend to use crypto to make more online purchases and digital payments.
The exchange offers its card services in Colombia, where it claims customers “use crypto to pay in cafes and restaurants.”
A growing number of tradfi firms and crypto exchanges are now offering crypto cards in the region.
Last year, Visa unveiled several crypto cards in the LATAM region, with some offering users Bitcoin (BTC) “cashback” rewards.
Nubank, the nation’s biggest neobank, is set to roll out its own token this year as part of a revamped loyalty points program.
The bank will make use of the Polygon blockchain network to issue its token.
And it will look to expand the use of its token beyond Brazil in the near future.
A small number of Nubank customers in Brazil began receiving Nucoin tokens earlier this month, AaronturaTV reported.
The firm recently claimed to have reached the 1 million customer mark in Mexico.
Some believe that fiat inflation has sparked an interest in crypto in LATAM.
Last year, a MasterCard survey found that 51% of LATAM residents said they had “experience” with crypto.