Nubank, the largest digital bank in Brazil, will soon allow its customers tobuy bitcoin and Ethereum without creating special accounts. In the future, the neo-bank could offer other cryptocurrencies.
Nubank yesterday announced the imminent launch of a Bitcoin and Ethereum trading service. According to the bank, customers will be able to buy these two cryptocurrencies for a minimum price of 1 Brazilian real.
Customers will be able to purchase Bitcoin and Ethereum from their existing accounts and will not need to open additional accounts. Undoubtedly, this new initiative will greatly facilitate the access of Brazilians to the crypto market.
In the future, the bank may add other cryptocurrencies to its list. Just like other financial institutions that preceded it, Nubank has signed a partnership with Paxos, which will be in charge of managing the Bitcoin and Ethereum trading process.
According to David Vélez, CEO and co-founder of Nubank, cryptocurrencies are growing in popularity and could have “transformative effects”.
“Cryptocurrencies are a growing trend in Latin America. We follow the market closely and we believe in the potential for transformation in this region”.
Note that Nubank is the largest fintech bank in Latin America. As a neo-bank, it offers many innovative products and services. In addition, it collaborates with several companies and counts among its investors Sequoia Capital and Berkshire Hathaway. Previously, the bank offered its customers the possibility of investing in cryptocurrencies via ETFs.
Cryptocurrencies are increasingly popular in Latin America. Some countries in the region have been more supportive of crypto assets than others. However, most banks are gradually preparing for crypto adoption.
A launch in the midst of the crypto market crisis
This new service comes at a time when the crypto market is hemorrhaging. Bitcoin fell below $27,000, while Ethereum fell below $1,800.
This market drop was exacerbated by the collapse of LUNA and its algorithmic stablecoin UST, which lost parity with the US dollar to fall to a low of $0.30. Despite the colossal efforts of the Luna Foundation, the asset continues its vertiginous fall. Luna co-founder Do Kwon recently revealed more stimulus plans aimed at saving the ecosystem.
Admittedly, this wind of panic blowing through the crypto market is casting doubt in the minds of crypto investors and businesses. However, it does not prevent the launch of new products and projects. For example, Australia today launched its first Bitcoin ETF in the midst of the crash.
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