Bitcoin in El Salvador (BitcoinThe adoption of) has triggered a digital asset revolution in Latin America. If people can exchange cryptocurrency, fiat currency and the upcoming central bank digital currency (CBDC) on the same infrastructure, the region may benefit more, a multi-currency investment platform The person in charge of Uphold said.
In an interview with Cointelegraph, Uphold CEO JP Thieriot emphasized that the nature of life in Latin America requires Bitcoin-based use cases and listed the region as the region that will benefit the most as the adoption rate of cryptocurrencies continues to grow.
In addition to El Salvador, Venezuela and Colombia are the two most famous cryptocurrency adopters in the region. However, other countries are rapidly closing the gap, El Salvador acts as a catalyst, Tirion explained. 1.4 million of Uphold’s 7 million users are from Latin America, and the region’s high adoption rate continues to attract global players.
He said that Bitcoin will first be accepted by people who do not have a bank account and those who send or receive remittances. However, for merchants, CBDC will be more popular than the largest cryptocurrency. “Understandably, many companies may prefer stable transactions, but the portfolio will benefit more from Bitcoin,” he added.
“With the proper channels to convert between Bitcoin, U.S. dollars, and any potential CBDC, users can really use any form of currency that best suits their use case.”
Speaking of CBDC, Thieriot pointed out that not every country needs to make its own digital currency because it is easy to adopt existing digital currencies. He added that the main goal of Latin American countries should be a functional system where anyone in the region can simply exchange assets.
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As mentioned by Thieriot, Latin America has achieved significant growth in cryptocurrency funding in 2021.Mexican cryptocurrency exchange Bitso became The first crypto unicorn in the region Benefited from the US$250 million Series C financing in May.
The local cryptocurrency exchange Mercado Bitcoin also completed a huge round of financing. Received 200 million USD in SoftBank financing“This is great, and we expect more,” Thieriot commented, adding:
“Considering unbanked banking as one of the main philosophical and practical pillars of cryptocurrency, this may mean providing people with financial services that rival traditional systems or surpass any other service for the first time.”
Thieriot went on to say that this means that families that rely on remittances do not have to see 10-20% of their income being taken away by the remittance company. “This means that literally anyone can start building a portfolio. It will fundamentally change the standard of living.”