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While the platform will support only Bitcoin and Ether trading initially, it will add support for other cryptocurrencies along the line.
Leading Brazilian fintech firm Nubank has announced its decision to enter the crypto trading market. The company launched a new product that will allow its customers to buy and sell Bitcoin and Ethereum on its app.
Already, Latin America leads the world in terms of cryptocurrency adoption and Brazil is the leader in the region. An initiative like this from a bank that has 53.9 million customers across Latin America is bound to increase the adoption even further. This is in line with the company’s mission to foster access to financial services in Latin America.
According to the announcement, the company will commence an immediate rollout. It expects to have reached all of its customers by end of July. While the platform will support only Bitcoin and Ether trading initially, it will add support for other cryptocurrencies along the line.
Crypto Trading Platform Will Accelerate Crypto Adoption
Nubank is partnering with a leading regulated blockchain provider Paxos. Paxos will provide custodial and brokerage services for all customers of the bank. Co-Founder & CEO of Paxos, Charles Cascarilla, expressed his delight at the partnership.
“Nubank’s move to enter the crypto trading space represents a strategic move not only for the company, but for an acceleration of the cryptocurrency adoption in the region.”
Likewise, CEO and Founder of NUbank, David Vélez said:
“The trading experience is still very niche as customers either lack information to feel confident to enter this new market or just get frustrated by complex experiences.”
Velez believes that the new product caters to all classes of people interested in crypto, amateur and savvy. He stated that the interface is simple and intuitive for the newbie. He also noted that it is robust and powerful enough for the crypto expert also. In both instances, the transactions will be safe and secure as they will occur on the app.
Nu Holdings Announces Bitcoin Portfolio
Apart from the new product, Nubank’s parent company, Nu Holdings, announced it will allocate 1% of its balance sheet to Bitcoin. The company’s latest earnings report revealed a cash and equivalents position of $2.7 billion at the end of December.
The transaction further underlines the company’s belief in the potential of Bitcoin and by extension cryptocurrencies in the region. Interestingly, Warren Buffett‘s Berkshire Hathaway invested $1 billion in Nubank back in February despite his disinterest in Bitcoin.