New York-based peer-to-peer cryptocurrency market place Paxful has struck a strategic partnership with Transfero Swiss AG, the largest digital asset management firm in Latin America, that allow Paxful customers to buy and sell Bitcoin (BTC) and Tether (USDT) with Brazilian Digital Token (BRZ), a stablecoin pegged to Brazilian Real.
Paxful announced the news in a blog post published on Wednesday, October 7th. According to the announcement, the partnership is part of the P2P Alliance, Paxful’s initiative to unite a powerful network of partners to unlock the full potential of crypto.
The Brazilian Digital Token (BRZ) is an ERC-20 token built-up on top of the Ethereum blockchain designed to maintain a 1:1 peg to the Brazilian Real. According to the Transfero, the price is maintained by market experts based on the reserves held by the reserve managers and shown to be a lot less volatile than Bitcoin.
Furthermore, the issuance of new tokens and the underlying reserves will be audited by a reputable third-party firm. BRZ aims to give Brazilians an alternative to hedge their savings to crypto and shield their assets from local currency devaluation, and access to international crypto platforms with the potential to increase investments in the global market.
But at present, BRZ market stats are not so good. The token was launched in early 2019 and is currently listed on several exchanges including Bittrex. But the 24-hour trading volume is just $821,330. According to CoinGecko, It has a circulating supply of 0 coins and a max supply of 1.7 Million coins. This might help BRZ to improve the stats.
Nevertheless, Brazil is the fifth largest country in crypto ownership, presenting a vast field of opportunities in the crypto scene. The Brazil crypto market is expected to rise to $100 billion by the end of 2020 making it the biggest cryptocurrency market in Latin America.
Transfero Swiss, the issuer of the BRZ stablecoin, is an international financial solutions company focused on facilitating access to digital assets. Thiago Cesar, CEO of Transfero Swiss AG, commented:
“Paxful is one of the largest P2P marketplaces for digital assets and has already shown great strength in emerging countries. Having BRZ at Paxful will improve the access of crypto sellers to the Brazilian market.”
Paxful is adding more payment methods and currencies to its platform. Most recently, it has added BiLira, a stablecoin pegged to Turkish Lira.
Ray Youssef, CEO, and co-founder of Paxful, about the partnership with Transfero Swiss, commented:
“At Paxful, we strive to provide financial freedom to all corners of the world and we admire that Transfero is doing the same. Brazil is a rapidly growing market for crypto and will benefit greatly from this partnership.”
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