More fintech-based businesses are now considering crypto as a method to broaden the services they offer to their clients. A Brazilian fintech and payments business called Picpay has announced that it would now let users of its app buy cryptocurrency with fiat money.
The business disclosed that it would support a number of cryptocurrencies in its wallet, including BTC, ETH, and USDP, a stablecoin backed by Paxos.
The service would reportedly be handled by Paxos, the same business that has managed cryptocurrency for other businesses offering crypto services in Brazil, like Mercado Libre and Nubank.
According to Anderson Chamon, co-founder and vice president of products and technology at Picpay, this is a highly significant move for the company. Though it is still unclear whether Picpay will allow cryptocurrency payments and withdrawals from its platform, the company aims to release this update the next month. The additional features will be accessible to the app’s more than 60 million users in Brazil.
The app will also enable users to pay with cryptocurrency at any merchant accepting Picpay as one of their payment methods as an expansion of the new services. Later this year, the fintech business hopes to make this happen by automatically exchanging cryptocurrency for fiat currency to shield retailers from volatility.
Picpay stated it anticipates having more than 100 cryptocurrencies in its wallet by the end of the year, providing a wide variety of possibilities for potential investors. The introduction of its own Brazilian real-pegged stablecoin, which will be utilized for transactions and purchases, is one of its most ambitious initiatives.
The largest digital bank in Brazil by market value, Nubank, added a feature for users to buy and sell bitcoin and ether on its platform in May. Meanwhile, Mercado Libre, Latin America’s largest e-commerce company by market value, allowed Brazilian users to buy, sell, and hold cryptocurrencies in December.
