Binance and Mastercard To Launch Crypto Card In Brazil – Blockzeit

Launching in Brazil, the Binance debit card is another step towards widespread adoption of cryptocurrencies.

The cryptocurrency industry’s leading exchange, Binance, and the world’s second-largest credit card company, Mastercard, have collaborated to launch a prepaid card in Brazil. This action is a part of Binance’s broader effort to strengthen the link between conventional finance and cryptocurrencies.

The Binance Card is reportedly currently undergoing beta testing, and according to an official statement, it will likely be made widely available within the next few weeks.

Brazil’s availability and equality of opportunities to access financial services

Brazil has seen significant growth in financial inclusion in recent years, particularly with the rise of digital payments. According to the Central Bank of Brazil, the use of digital payments has increased significantly, with over 60 million Brazilians using digital wallets in 2020. Despite this progress, however, a significant portion of the population remains unbanked. According to the World Bank, around 27% of the adult population in Brazil was unbanked in 2017. The government has been working to address this issue by promoting financial education and access to basic banking services, as well as by providing incentives for financial institutions to serve low-income and rural populations.

Binance and Mastercard partnership

The partnership between Binance and Mastercard to provide Brazilian citizens with crypto prepaid cards could have several positive effects, including:

  • Increased financial inclusion: Providing citizens with access to crypto prepaid cards could help to increase financial inclusion, particularly among those who may not have access to traditional banking services.
  • Improved access to digital payments: The prepaid cards would provide citizens with a convenient and secure way to make digital payments, which could help to drive the adoption of digital payments in the country.
  • Increased security: Crypto prepaid cards can offer enhanced security features compared to traditional payment methods, which could reduce the risk of fraud and other financial crimes.
  • Greater control over finances: By allowing citizens to access and manage their funds through a prepaid card, the partnership could give individuals greater control over their finances, particularly those who may not have access to traditional banking services.
  • Boost to the crypto market: The partnership could also help to boost the adoption and development of cryptocurrencies in Brazil, which could have wider implications for the crypto market globally.

Final Thoughts

Cryptocurrency has the potential to increase financial inclusion in countries by providing access to financial services for those who are unbanked or underbanked. This includes individuals who may not have access to traditional banking services due to factors such as location, lack of identification documents, or low income. The decentralized and digital nature of cryptocurrencies allows for financial transactions to occur without the need for intermediaries, reducing barriers to access and making it easier for people to participate in the global economy. 

Source : From the Web

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