The “crypto winter” has arrived and hit the enthusiasts, but despite the turmoil in the ecosystem, companies like Bitso want cryptocurrencies to remain not only among the connoisseurs and increasingly useful for the general population and the most important example. Relevant today for this Mexican unicorn are remittances.
“Many people identify with this use case, because many people depend on the money that their relatives send them from the United States,” explained Daniel Vogel, CEO of Bitso, during a meeting with the media, where he highlighted that they currently have a participation of more 5% weekly on total remittances from the US to Mexico.
In June, the company announced that during the first half of the year they had processed 1,000 million dollars in cryptocurrencies for remittances, in addition to having reached 5 million users on their platform. For this reason, Vogel pointed out that by the end of the year they expect to reach a share of between 8 and 10% in this sector.
Vogel also highlighted that there are a couple of cryptocurrencies that are being used more by their users in sending remittances. Some are stablecoins, which are tied to the value of the dollar, and Ripple’s XRP cryptocurrency.
Bárbara González, director of Bitso in Mexico, explained that people are choosing cryptocurrencies to send their remittances because the transfer is immediate and can be done safely at any time.
Likewise, he pointed out that among its main users are migrants who recommend the platform among themselves, in addition to remittance companies, which have opted for this option because they reduce capital costs, in addition to protecting them from exchange rate fluctuations. .
Crises are an opportunity to continue building the crypto industry
Although the industry is going through a complex moment and there is a wave of mistrust towards cryptocurrencies, Vogel accepted that this is not the first crisis nor will it be the last. However, he said that these periods are when you should think long-term.
Bitso has users in Mexico, Argentina, Colombia and Brazil, in addition to a base of 600 employees, but last May it laid off 80 workers globally as part of its “long-term business strategy”, at a time when he had to rethink his skills to move to where customers needed.
Although cryptocurrencies have lost value in recent months, Bárbara González described the moment as a “natural correction” in the industry, which should be used to evolve once favorable conditions recover, in addition to continuing the work with regulators and users to educate about the risks and benefits of the industry.
José Luis González Birlain, Bitso cryptocatalyst, highlighted the diversity of currencies that exist in the panorama, since there are no longer just Bitcoin or Ethereum, which translates into an industry that is advancing and adapting to different use cases.
According to data from the Mexican company, Bitcoin and Ethereum are among the top 10 cryptoactives, with 48.2% and 23.5% market share, respectively. However, they have reduced their dominance thanks to new coins like Thether, Ripple, Cardano, and Dogecoin, among others.
“Not all cryptocurrencies do the same,” explained the specialist, who also stressed that the more options for use there are, the greater the adoption among the population, which favors continuing to build an industry.
Bitso signs agreement with Mastercard
The unicorn is firm in its goals of extending cryptocurrencies to more people and in this sense announced an agreement with Mastercard to launch their joint card, which will allow people to use their crypto balance in purchases of any kind, whether in physical stores. or digital, apps or digital subscriptions.
So far there is no specific date for the release of this plastic. “Very soon,” said Bárbara González and stressed that there is currently a waiting list to obtain the card that will work worldwide, in addition to giving the benefit that fractions of bitcoin are received with each purchase.
