Brazil seeing increased adoption of crypto cards – Is LATAM following suit?
The adoption of cryptocurrency credit cards is increasing in Brazil, according to issuers, with more Latin American users than ever reportedly buying and spending tokens.
As reported by the Brazilian media outlet Livecoins, Brazilians are not only buying crypto, but they are also using coins to pay in stores instead of fiat currency.
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.”
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He claimed that citizens were now using crypto-powered cards to “buy bread at the bakery, pay for dinner with friends, and pay for taxi fares.”
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.
The firm said that customers also pay bills in cafes and restaurants using crypto.
Crypto cards typically use fiat-to-crypto technology, which 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.
More Argentinians than Brazilians tend to use crypto to pay in retail stores, and they also 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 traditional finance 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.
Visa also began working on CBDC “usage case” projects in Brazil this year.
Nubank, the largest neobank in the nation, is set to roll out its own token this year as part of a revamped loyalty points program.
The bank will use the Polygon blockchain network to issue its token, and it aims 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, as reported by AaronturaTV.
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.
