Brazil is a country with an active number of crypto traders and owners. A Brazilian crypto trader, Rafael Oliveira Bitcoin, said over 7.7 percent of the entire country’s residents own crypto. This means that millions of Brazilians own cryptocurrency. Cryptocurrency in Brazil is becoming increasingly popular, with the country now being the second–largest market for Bitcoin in the world. So yes, there are Brazilian crypto owners and traders. Rafael Oliveira Bitcoin is popular on the internet for being a useful Bitcoin trading tip-giver. Rafael first started as a normal employee and worked his way to being a successful businessman.
How Cryptocurrency is in Brazil
The Latin American country has seen a boom in crypto platforms like Crypto.com, Binance, and Coinbase. The number of crypto account registration on these platforms rose in 2022. A financial expert said that Brazilian citizens traded billions of stablecoins in 2021. This amount was higher than what was traded in 2020. Likewise, in 2022, many Brazilians traded billions of Bitcoin and made money out of it. Consequently, crypto trading has helped many of them out of the financial crisis brought on by the current inflation. Lots of traders that made money use their money to pay bills and cater for their families. Therefore, the impact of cryptocurrency in Brazil is high.
Value of Some Major Coins Bought in Brazil
Several Brazilians prefer Tether as their stablecoins for one reason or the other. The number of USDT acquired by Brazilians in 2021 is over 9.6 billion dollars. Similarly, USDC owners bought billions of dollars for each crypto coin. Only TrueUSD and DAI owners bought it for millions of dollars.
A Binance spokesperson confirmed that stablecoins traders in Brazil have risen in numbers since 3 years ago. What this means is that crypto is fast on its way to becoming legal tender in Brazil.
Brazilian Crypto Owners’ Statistics
Rafael Oliveira said that in 2020 and 2021, the number of adults who own cryptocurrency in Brazil has increased by leaps and bounds. To be precise, the number of crypto owners or users increased by six million.
Its Popularity in Brazil
As crypto is rapidly integrating itself into the Brazilian market and economy, it isn’t surprising that it is hugely popular. Many major exchange platforms are on the lookout for cryptocurrency in Brazil. This is because the country has proven itself to be a key player in this sector.
Why do Brazilians Use Stablecoins?
One of the major reasons Brazilians have turned to stablecoins is inflation. Inflation has plagued every country in the world and the cost of living is higher than normal. Hence, many people try to find a second source of income that won’t interfere with their main job. They also want something that is highly profitable, has huge returns, and has fewer risks. So to them, trading in cryptocurrency is the right answer. And currently, there is no better crypto coin in Brazilians’ minds than stablecoins. In addition to trading in stablecoins, Brazilians also store their wealth in stablecoins.
A financial report on cryptocurrency in Brazil from September 2019 – April 2020
September 2019: Brazil’s Central Bank officially recognized crypto as money in late 2019. As a result, the trade of digital assets in Brazil became part of Brazil’s balance of trade report.
August 2020: Cryptocurrency in Brazil had a market target of 100 billion dollars during this period. Many of these firms signed a self-regulation code whose aim is to legalize and improve the use of cryptocurrency assets in Brazil.
September 2020: Brazil targeted the year 2022 to release its digital currency as part of the Central Bank’s plan. This is to digitalize the Brazilian payment system and introduce new payment technologies. This plan included the launch of open banking and instant payment systems in Brazil.
January 2021: Brazil’s Mercado Bitcoin, the largest crypto exchange, decided to go global. The company said it has received around a 37 million dollar investment fund. Furthermore, this new venture is a joint one in partnership with two other firms in Brazil. The investment will facilitate Mercado’s growth across the Latin American continent. It will also help it to invest in its other crypto ventures that are made for investors from large institutions. Likewise, the investment will help Mercardo develop its Meubank eWallet.
March 2021: A March 2021 report showed that the stock exchange market in Brazil approved two new ETFs. The CVM, an organization in charge of Securities and Exchange in Brazil, made this approval. One of the ETFs is made up of five other coins, while the other approved ETF is Bitcoin.
April 2021: During this period, the Bank of Brazil has allowed its customers to buy Hashdex ETFs. This bank backed by the government is the first ever to make this possible in Brazil. Any customer who wishes to purchase Hashdex’s crypto ETFs can do so at the bank. In addition, the ETF is named “HASH11”. Furthermore, the bank’s clients will be exposed to what crypto trading is all about when they invest in Hashdex’s funds. This type of trading will use the same format as NCI crypto trading.
Rafael Oliveira Bitcoin has encouraged Brazilian traders to trade in crypto coins if they want to. According to him, Brazil has regulated crypto trading in such a way that will be conducive to Brazilian traders. However, Rafael cautioned new traders to be careful of the type of crypto trade they engage in. Otherwise, they may end up being scammed of their money as there are scammers out there.