USDC Circle Partners With Chilean Fintech Mercado Pago

USDC stablecoin. (Photo; Doc. Cryptoabc)

JAKARTA - The United States stablecoin crypto company, Circle, and Latin America's largest online payment platform, Mercado Pago, forged a strategic partnership on August 29 yesterday. This agreement comes as Chile faces high economic and inflationary challenges. Similar conditions are also experienced by other countries in Latin America.

Matwas Spagui, senior director of Mercado Pago, explained, "In a volatile economic situation, the US dollar is a stepping point for financial stability." The main goal of this collaboration is to "present diversified access to cryptocurrencies," providing financial means to the public to manage their wealth.

Meanwhile, Circle, which is a USDC stablecoin crypto publisher, states that integration with Mercado Pago aims to bring "a reliable, secure, and transparent digital dollar" to users. This allows "almost instant transactions and expands the potential of financial services" offered to the Chilean market.

Rachel Mayer, vice president of products at Circle, added, "Latin America is becoming an important center in digital financial development, and cooperation with Mercado Pago is an important step in facilitating access to digital financial solutions."

This partnership is in line with the growing trend of adoption of digital financial products in Latin America. Previously, Ark Invest highlighted the growth in the use of cryptocurrencies in Argentina, another country in South America that is facing high inflation. The growth of this digital financial ecosystem has even affected the political world, with potential leaders supporting cryptocurrencies increasingly gaining public attention.

At the same time, Circle and Mercado Pago responded to growing demand for digital financial instruments that could serve as stable store of value. This collaboration also underscores Circle's strategy of expanding USDC usage globally.

Not only that, the leading crypto trading platform, Coinbase, is also reportedly planning to expand the use of stablecoins to other regions while strengthening support for stablecoins with investments in the form of equity stocks in Circle.