E-commerce Giant MercadoLibre Launches its Own Cryptocurrency MercadoCoin in Brazil

MercadoLibre Inc (a multi-national e-commerce company based out of Latin America) announced on August 18 that it had created a new cryptocurrency called MercadoCoin. This will be used in its loyalty program.

According to Reuters, the cryptocurrency will be available on the Ethereum network as an ERC-20 token at $0.10 per unit. It will be used primarily to cashback and purchase inside MercadoLibre. Although the developer team suggested that the token could be opened to secondary markets at some point, they did not provide any details.

“MercadoLibre’s cryptocurrency is initially valued at $0.10 per piece, before being open for market fluctuation.”

MercadoCoin will be available in 80 million accounts

The cryptocurrency will be made available to over 500,000 Brazilian users starting August 18. However, the team anticipates that it will be available for at least 80,000,000 customers by the end.

The company does not plan to launch in any other regions at this time, as it would prove difficult to comply with the various regulatory requirements in these countries. This is crucial considering the differences in Latin America’s crypto policy. While countries like El Salvador, Brazil and Venezuela are more crypto-friendly than others, Bolivia, Ecuador, Chile, and Chile, have the opposite view.

Marcos Galperin (CEO and founder of MercadoLibre) stated via his official Twitter account, that the new initiative would increase the company’s loyalty program as well as help “democratize financial integration in Latin America.”

Hoy lanzamos Mercado Coin en Brasil, dandole mayor impulso a nuestro programa de lealtad y dando otro paso para democratizar la inclusion financiera en America Latina.

MercadoLibre to create cryptocurrency as part of loyalty program https://t.co/7kanuk6GLh

— Marcos Galperin (@marcos_galperin) August 18, 2022

Mercadolibre Continues to Bet on Cryptocurrency Market

According to CryptoPotato’s report, MercadoLibre launched a wallet last year to allow Brazilians to purchase and sell cryptocurrencies like Bitcoin (BTC), Ethereum(ETH) and Tether (USDT) as well as other cryptocurrencies.

Osvaldo Gimenez, CEO of Mercado Pago said earlier this week that they will expand the service to all regions. This will allow users to store, buy, and sell cryptocurrencies without the need for third-party exchanges or brokers.

“We are expanding the Region’s ability to buy, sell, and have cryptocurrencies in our accounts. It works with Bitcoin, Ethereum, and any stable currency that is equal to the dollar’s value.

Gimenez says that cryptocurrency through MercadoPago can have a significant impact on the Region. Many people don’t have a bank account or use them mainly for cash withdrawals. This is an “investment opportunity for anyone looking for an alternative to fiat currency.”

It is an alternative investment opportunity we find very intriguing and attracts a lot interest from users. Users have very limited investments with us at a time when dollars are rising. For us, it’s a way to diversify our portfolio.

Mercadolibre, in addition to MercadoCoin and the crypto wallet. Mercadolibre is also a strategic investor and an advisor in Paxos, one of Brazil’s largest cryptocurrency trading platforms. Mercadolibre was also a member of the now defunct Libra Association through its fintech branch, MercadoPago.

CryptoPotato’s first article was entitled “E-commerce Giant MercadoLibre Launches a Cryptocurrency MercadoCoin In Brazil”

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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