Leading crypto exchange Binance and credit card giant Mastercard have partnered to launch a prepaid crypto-linked card in Brazil as part of Binance’s expansion plans in Latam. The Binance card features 8% cashback for eligible purchases and supports on-the-fly conversion of 13 cryptocurrencies to make payments to local merchants.
Brazil Receives Binance Prepaid Card
Binance, a leading cryptocurrency exchange by volume traded, announced on Jan. 30 the launch of its Binance card in brazil, a product that will allow crypto users to make payments in crypto to legacy merchants. The card, which is backed by Mastercard, will enable registered customers of the exchange from all over Brazil to make crypto payments with 13 supported cryptocurrencies, including on-the-fly conversions to the Brazilian real.
The release of this product comes as no surprise to some, as Matthew Shroder, global vice president and regional director at Binance, had stated in September that Brazil was one of the top upcoming markets for the launch of a prepaid card in Latam.
Payments made with fiat currency using the prepaid card will be fee-free. However, payments involving crypto-to-fiat conversions will have a 0.9% fee. Also, the card features 8% cashback in crypto that applies to eligible purchases.
This move is part of the efforts that the exchange is making to expand its footprint in Latam. Brazil is the second market in which the instrument will be launched. Binance launched a similar product in Argentina first, in August last year.
Bringing Crypto and Payments Closer
For Binance, there is room for crypto to keep growing in the payments area, and being Brazil is one of the biggest payments hubs on the continent, the interest in bringing these services to the country is clear. About the goals that Binance wants to achieve, Guilherme Nazar, general manager at Binance for Brazil, stated:
Payments is one of the first and most obvious use cases for crypto, yet adoption has a lot of room to grow. We believe the Binance Card is a significant step in encouraging wider crypto use and global adoption, and the openness of Brazilians to innovation makes the country a great market for this release.
Nazar explained that Brazil was one of the most relevant markets for the exchange in the area, and that the company will keep investing in bringing new services and contributing to the adoption of blockchain and crypto in the country.
Binance hopes to expand this product to more markets but did not make specific announcements on this matter.
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