Coinbase’s Strategic Move: Acquiring Brazilian Crypto Leader 2TM

The Buzz Around Coinbase’s Acquisition

Coinbase is on a global roll, and it appears Brazil is next on the itinerary. According to the esteemed Estadão, the deal to acquire 2TM—the parent company of Mercado Bitcoin—could be wrapped up as soon as next month. Yes, you heard it right! While most of us were busy with our New Year’s resolutions, these negotiations were simmering throughout 2022.

Mercado Bitcoin: A Giant in the Crypto Arena

Mercado Bitcoin isn’t just a fancy crypto name tossed around—it’s the largest cryptocurrency brokerage in Latin America. The parent company, 2TM, proudly flaunted its unicorn status after hitting a valuation of $1 billion in 2021. With a whopping value of $2.2 billion, 2TM is not merely resting on its laurels. They recently acquired Portuguese exchange CriptoLoja, proving that their acquisition strategy is as aggressive as a toddler at a candy store.

Strategic Expansion in Brazil and Beyond

2TM’s growing empire includes several other opportunities: Meubank, MB Digital Assets, CriptoLoja, Bitrust, Blockchain Academy, MezaPro, Wuzu, and Portal do Bitcoin. You can say they have the Midas touch! Now, with Coinbase eyeing this golden opportunity, it’s clear that the San Francisco-based exchange is looking to expand its horizons.

Insights from Coinbase’s Institutional Report

In their latest report titled “Where next for crypto in Latin America,” Brazil is mentioned 31 times—significantly more than Mexico, which struts in with just 17 mentions. The report emphasizes Brazil’s rapid growth in direct crypto trading, with Mercado Bitcoin’s transaction volumes increasing seven-fold year-on-year. Talk about a crypto boom!

A Hotbed for Bitcoin Enthusiasm

It’s not just Coinbase that’s buzzing about Brazil. The South American giant is a crypto hotbed; over 10 million Brazilians are influencing trends by owning cryptocurrency. With plans to accept crypto for various taxes in Rio de Janeiro starting in 2023, it appears that Brazil is ready to embrace digital currencies with open arms. 🤑

“The year 2021 was all about mass adoption in Brazil, with UFC stars and politicians jumping on the crypto bandwagon.”

While there’s a polite line of inquiry sent to Coinbase, 2TM, and Estadão for comments, it’s safe to say that this acquisition is raising eyebrows and affirming Coinbase’s commitment to global growth.