Latin and South America are among the regions where the traditional financial system offers the least security for their people. Around 50% of the population there have no access to the possibility to open a bank account, and those who have the option are sometimes harmed from high inflation to hyperinflation, as the examples of Venezuela and Argentina show. At first glance, this is a very clear case for cryptocurrencies that can solve both of these problems. No wonder that the crypto exchange Binance is now planning to expand to Latin America. The first countries are said to be Brazil and Argentina. For the crypto market, this means around 250 million potential new users.
Binance creates Latamex
The leading crypto-exchange in terms of trading volume and number of users, Binance, has now announced at “laBitConf”, one of the best-known crypto conferences in Latin America, that it will create a new opportunity for changing fiat money in cryptocurrencies for South America. Specifically, this should happen through a new platform called Latamex, which is being implemented together with the Settle Network, a Latin American digital asset liquidation network. Latamex will initially come to the market in Brazil and Argentina and offer Bitcoin, Ethereum, Binance Coin and the Stablecoin Binance USD.
For the entire crypto market this means potentially over 250 million new users (Brazil approx. 210 million, Argentina approx. 45 million), who thus have another opportunity to enter the market through Binance. 13 other countries are to follow later: Mexico, Uruguay, Colombia, Panama, Costa Rica, the Dominican Republic, Guatemala, Honduras, Nicaragua, El Salvador, Paraguay, Peru and Chile.
Enormous potential in South America for crypto
In South America in particular, the financial system is far from stable in many countries. As always, this is at the expense of the population. Examples of this are hyperinflation in Venezuela. In Argentina too, inflation is very high by almost 35% in 2018 in Europe.