The Brazilian branch of the Spanish banking giant may offer a range of crypto-currency services to its customers in the coming months. The initiative is far from isolated in the country, where many local institutions have already taken the plunge to meet growing public demand.
Santander, a new crypto player in Brazil
Santander, a bank with 153 million declared customers, has just announced its intention to offer cryptocurrencies to its Brazilian customers. Mario Leao, general manager of the local branch, announced this, specifying that in a few months the service will be available to 9 million users who want to position themselves in this market.
We understand that this is a market that will remain, and this is not necessarily a reaction to the positioning of competitors. It’s just an idea that our client has a demand for this type of asset, so we have to find the most correct and educational way to do it.
The company is reportedly finalizing the relevant legal framework, knowing that this is not its first step in this area.
Earlier in March, the bank announced the launch of token-backed loans for Argentine farmers in collaboration with South American agricultural tokenization platform Agrotoken. It also launched an initiative to help startups grow called the Santander X Global Challenge – Blockchain and Beyond. ”
Dynamic Local Environment
The leading economic power in Latin America has a rather friendly approach to cryptography. In fact, many institutions are already involved in this industry. Nubank, the #1 digital bank in Brazil, integrated bitcoin into its treasury and launched a cryptocurrency trading service earlier this year. BTG Pactual, another major player in the sector, also joined in autumn 2021 with the blessing of the Central Bank and the country’s first regulator, the Brazilian Securities Commission. By no means new to the matter, these two have already established themselves in the sector through investment funds.
In July, Brazil’s most popular financial app, PicPay, announced a series of industry commitments. Fintech will not only support payments through cryptocurrencies, but also plans to create its own exchange, launch a stablecoin backed by local reais, and enter the NFT and Web3 market.
Backed by a fairly benign local regulatory framework, Bitcoin and other cryptocurrencies are now part of the financial landscape of South America’s leading economy.
An interest that has not gone unnoticed by the giants of the sector who want to invest in this area and shine all over Latin America – almost 665 million inhabitants, ranking fifth in the world in the adoption of cryptocurrencies and constantly capturing 8% to 10%. its global business from its stronghold.
Coinbase has tried to do this, but so far to no avail. Binance, on the other hand, is laying its foundations there. In addition to opening an office in Rio de Janeiro, the CZ exchange acquired the Brazilian brokerage firm Simpaul Investimento.