Mercado Pago, the financial wallet arm of Latin American e-commerce giant Mercado Libre, announced on September 27, 2022 the launch of cryptocurrency trading services in Mexico. This expansion follows the company's successful crypto pilot in Brazil, which has already attracted over 1 million users who can buy, sell, and hold digital assets including Bitcoin and Ethereum, as well as Mercado Libre's own token, Mercado Coin.
Service Details in Mexico
Mexican customers can now purchase Bitcoin (BTC) and Ethereum (ETH) directly using pesos from their Mercado Pago wallets. Pedro Rivas, CEO of Mercado Pago Mexico, stated: 'Through this new service, we aim to give millions of Mexicans access to the crypto world in an educational, safe and simple way, fostering greater technological inclusion.' The service currently only supports in-wallet custody and does not allow withdrawals to external wallets — a model consistent with its Brazilian offering.
Brazil Success and Expansion Rationale
The move was foreshadowed by Osvaldo Gimenez, head of Mercado Pago, who on August 4 highlighted the importance of cryptocurrencies as alternative investments in Latin America. In Brazil, the service has been live since November 2021 and has processed transactions for over 1 million users, who can also receive Mercado Coin rewards. However, in Mexico, users are still unable to spend crypto on Mercado Libre's marketplace. This aligns with the view of Marcos Galperin, Mercado Libre's co-founder and CEO, who emphasizes the store-of-value role of crypto over its use as a medium of exchange. Mercado Libre launched Mercado Coin on August 20 but has not announced its availability in Mexico.
Growing Crypto Momentum in Mexico
Interest in digital assets is rising in Mexico, with food delivery giant Rappi launching a pilot to accept crypto payments in April. In July, Mexican Senator Indira Kempis introduced a bill to recognize Bitcoin as legal tender, aiming to improve financial inclusion and literacy. Although the bill is still under debate, it signals a welcoming regulatory environment. Mercado Pago's entry into Mexico's crypto space not only strengthens its hold on LatAm fintech but also provides a regulated, user-friendly gateway for millions of Mexicans to explore digital assets. As education and adoption grow, Latin America could become a key region for crypto adoption worldwide.