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Mercado Libre expands Meli Dólar stablecoin to Mexico

Mercado Libre expands Meli Dólar stablecoin to Mexico

GrafaGrafa2024/09/17 05:40
By:Mahathir Bayena

Mercado Libre, an e-commerce and financial services company in Latin America, has announced it will expand its stablecoin project, Meli Dólar, to Mexico.

Initially launched in Brazil in August, the dollar-pegged stablecoin will now be available in another market in the region.

Juan Vita, Senior Director of Product at Mercado Pago, shared these plans during the Modular 2024 event in Sao Paulo, Brazil.

The expansion to Mexico follows growing interest in cryptocurrency in the country.

A recent report by Chainalysis indicates that Mexico ranks third in crypto adoption in Latin America, following Brazil and Venezuela.

This initiative aligns with Mercado Libre's goal to offer a stable financial tool for its users.

Meli Dólar, developed in partnership with Argentina-based crypto exchange Ripio and issued by Meli Uruguay S.R.L., helps users in Latin America maintain the value of their income without needing a dollar-based bank account.

Mercado Libre does not charge fees for purchasing, selling, or transacting with Meli Dólar, which could provide it with a competitive edge over similar offerings outside its platform.

The stablecoin is backed by U.S. debt, allowing it to potentially share earnings from these bonds with holders, functioning in a way similar to a digital dollar bank account that can earn interest.

Mercado Libre is also considering launching Meli Dólar in Argentina.

Vita mentioned that regulatory changes might soon permit the introduction of the stablecoin there, though he did not provide a specific timeline or further details.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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