Mastercard and Binance have announced the launch of bitcoin and crypto-backed prepaid cards in Brazil, Latin America’s largest economy.
According to the blog post, the Binance Card is currently in beta testing and is expected to be available in the country in the next few weeks. Binance cards are now available in many European countries.
The Brazilian version will “allow all new and existing Binance users in Brazil with a valid national ID to make purchases and pay bills with cryptocurrency.” It will charge a fee of 0.9% per transaction involving bitcoin, according to the blog, and there will be an 8% cashback offered on select purchases, while allowing ATM withdrawals without fees.
Brazil is one of the company’s top 10 markets, according to Binance, and the card will allow new and existing users in the country to pay bills and shop with cryptocurrency at Mastercard merchants. The launch of the prepaid card is part of Binance’s efforts to “expand the connection between traditional finance and crypto.” The card has been launched in Argentina and will be launched in Brazil next.
Brazil is one of the biggest potential markets in the world, just in terms of numbers. According to estimates, more than 10 million inhabitants of the country of about 214 million use cryptocurrency. Brazil has also experienced high levels of inflation since the start of the pandemic similar to the United States, making citizens hungry for money.