To launch a prepaid crypto card in Brazil, Mastercard (NYSE:MA), the largest centralised cryptocurrency exchange in the world, has teamed up with Binance.
According to Binance, the new prepaid cryptocurrency card in Brazil will let users pay for goods and services using 13 cryptocurrencies, including bitcoin (BTC), ether (ETH), and Binance USD (BUSD).
The exchange will charge a 0.9% fee for each transaction, offer up to 8% in crypto cashback, and allow free ATM withdrawals.
The new product is still testing and will be rolled out in the coming weeks.
According to Guilherme Nazar, general manager of Binance Brazil, “Brazil is an extremely relevant market for Binance and we’ll continue to invest in new services for local customers, as well as contribute to the development of the blockchain and the country’s crypto ecosystem.” A comparable offering was launched by Binance in Argentina last year in collaboration with Mastercard. Brazil, though, appears to have Latin America’s highest potential for adoption.
Crypto Adoption Rising in Brazil
Brazilian usage of cryptocurrencies appears to be increasing, therefore, Nazar’s remarks regarding Brazil’s significance to Binance are not surprising.
In a poll by New Payments Index 2022, 49% of 35,000 respondents stated they had engaged in at least one crypto transaction in the 12 months before the study’s publication. Comparatively, the world average is 41%.
Brazilians are excited about using cryptocurrencies as a form of investing. According to Mastercard Brazil President Marcelo Tangioni, “Today we take an exciting step on our crypto journey that combines the strengths of our highly dependable worldwide network and Binance’s infrastructure to facilitate customer choice for their payments. Brazilians also participate actively in the cryptocurrency market. Brazil’s Federal Tax Office estimates about 1.5 million individual and corporate cryptocurrency investors there.