Mercado Pago, the digital financial institution unit of Latin America’s largest firm, Mercado Libre (MELI), mentioned on Wednesday that it’s introducing a stablecoin in Brazil tied to the U.S. greenback.
The corporate mentioned Mercado Pago’s customers in Brazil will have the ability to purchase and promote the Meli Greenback stablecoin utilizing account balances in Brazilian reais with out incurring any charges. The product, mentioned the agency, “goals to offer a sensible and steady possibility for monetary administration.”
In August 2022, Mercado Libre launched its cryptocurrency, Mercado Coin, to permit customers to make purchases on {the marketplace} and obtain money again. Previous to that, Mercado Libre built-in Paxos’ blockchain infrastructure with Mercado Pago to allow customers in Brazil to purchase, promote, and maintain bitcoin, ether, and Paxos’ stablecoin, Pax greenback (USDP). .
Ripio, a Latin American crypto firm, will function the market maker for transactions made on Mercado Pago, the corporate mentioned. Ripio, which operates a buying and selling platform and a pockets within the area, amongst different companies, had labored with Mercado Pago to develop Mercado Coin.
The transfer by Mercado Libre comes about one 12 months after U.S.-based PayPal (PYPL) delivered to market its dollar-based stablecoin, PYUSD, which in latest days has closed in on a $1 billion market cap.
