Cryptocurrency credit card adoption is experiencing a surge in Brazil, as an increasing number of Latin American users are purchasing and spending digital tokens. Brazilian media outlet Livecoins reported that citizens are actively using cryptocurrencies instead of fiat currency for various daily expenses, such as buying groceries and paying for dinner.
In an interview, Binance Brazil’s head, Guilherme Nazar, claimed that crypto cards, including the Binance Card, are effectively integrating digital currencies into individuals’ daily lives. According to him, people are now using crypto for everyday expenses like bread, taxi fares, and dining with friends. These cards, he explained, satisfy the needs of local users and encourage mainstream adoption.
Nazar further noted that most crypto cardholders tend to use digital currencies for their supermarket and grocery expenses. Additionally, Binance users in Brazil reportedly spend their cryptocurrencies for various other purposes, such as public transportation, streaming service subscriptions, and even for settling bills in cafes and restaurants.
It’s essential to mention that crypto cards rely on fiat-to-crypto technology, enabling vendors to receive payments in fiat currency while customers spend from their digital wallets.
However, this trend is not exclusive to Brazil. Cryptocurrency adoption is witnessing substantial growth across Latin America. Binance’s data reveals that in Argentina, many users employ digital currencies for settling payments in supermarkets, cafes, and restaurants. Argentine users also exhibit a higher propensity to use digital currencies for retail shopping, online purchases, and digital payments when compared to their Brazilian counterparts.
The Colombian market is also receptive to cryptocurrency cards, with increasing reports of crypto payments being made in cafes and restaurants. Amid growing demand, several financial institutions and crypto exchanges are now offering crypto cards in the region. Last year, Visa introduced multiple cryptocurrency cards in Latin America, providing Bitcoin “cashback” rewards to users.
Moreover, Visa started working on central bank digital currency (CBDC) projects in Brazil, while Nubank, the country’s largest neobank, is preparing to launch its token later this year. The bank will utilize the Polygon blockchain network to issue its token and plans to extend the token’s use beyond Brazil.
Recently, Nubank claimed to have reached one million customers in Mexico. Some analysts argue that this growing interest in crypto across Latin America likely stems from fiat inflation concerns. A MasterCard survey conducted last year found that 51% of the region’s residents have experience with cryptocurrencies, indicating increasing familiarity and adoption.
Source: Cryptonews
