- Ripple Invests in Latin America’s Largest Crypto Exchange
- 70% of Latin America is Still Unbanked
According to recent reports, crypto giant Ripple has announced a new arrangement with a Latin American entity. The Blockchain network recently revealed that it has invested in Bitso. Bitso is the biggest crypto exchange in Latin America. The exchange is located in Mexico. Officials say the exchange will launch Ripple’s new product.
The Amount Invested by Ripple is Undisclosed at This Point
After sharing the news that it is going to sphere head several investments in Mexico-based exchange, Bitso, the largest in Latin America, Ripple didn’t give any details as to how much investment it is putting.
Even though the investment amount is not disclosed, another detail about the arrangement was shared by Ripple. Asheesh Birla, Ripple’s Senior Vice President of Product. Will be joining Bitso’s board of directors following the investment.
Ripple Led the Investment Round for Bitso
Bitso is Mexico’s largest cryptocurrency exchange. The firm has already raised an undisclosed sum as investment from notable contributors/investors to further expand its reach in Latin America. Apart from Ripple, other entities that have participated in the scheme include Coinbase and Jump Capital.
The firm’s already existing investors include Digital Currency Group and Pantera Capital. These firms also participated in the new round of investments. Bitso has been operating since 2014. The firm serves 750,000 users in Mexico. Bitso is now looking to expand into Brazil and Argentina, among a host of Latin American nations.
70% of Latin America is Still Unbanked
It is no secret that 70% of Latin America (about 400 million people) are unbanked. Additionally, several countries in the region have also been experiencing macroeconomic issues in recent months.
Argentina is facing currency crises. Last month, Argentina’s central bank restricted USD purchases in a bid to revive the peso. The Argentine peso has plunged in recent months. Brazil recently entered a recession. This was caused by the high unemployment rate and weak investments.
Due to the issues mentioned above, both nations have seen their crypto activity pick up recently. Argentina, for example, had a jump in its weekly bitcoin volume. The figure jumped to $196,000 via P2P exchange LocalBitcoins. In Brazil, the Bitcoin weekly volume, figure touched at $307,000. This shows progress in crypto activity.
XRP (XRP) Price Today – XRP / USD
Name Price 24H % $1.60
Earlier in the year, Ripple, and its recent acquisition MoneyGram partnered with Bitso to launch Ripple’s product in Mexico. The product title is On-Demand Liquidity. The crypto exchange is also known as the key partner in that arrangement.