According to Estado, a Brazilian daily, Coinbase might complete its $2.2 billion purchase of 2TM, the firm behind Mercado Bitcoin, by April.
Coinbase is apparently planning to expand its worldwide acquisition strategy by purchasing the Brazilian business 2TM, the parent company of Mercado Bitcoin.
According to Estado, Brazil’s third-largest daily, which is read by 212 million people, the Coinbase purchase might be completed by next month. Over the course of 2022, negotiations for the acquisition have been ongoing.
Mercado Bitcoin is Latin America’s biggest crypto brokerage, and its parent firm, 2TM, will be a billion-dollar corporation in 2021. 2TM, which is worth $2.2 billion, has likewise followed an acquisition strategy, focusing on lusophone nations. In January, 2TM’s Mercado Bitcoin acquired Portuguese CriptoLoja, a Lisbon-based crypto exchange.
Meubank, MB Digital Assets, CriptoLoja, Bitrust, Blockchain Academy, MezaPro, Wuzu, and Portal do Bitcoin are now part of the 2TM holding company.
The alleged planned purchase of 2TM by Coinbase illustrates that their worldwide acquisition strategy is snowballing. Following the acquisition of an Indian AI firm to enhance customer service after receiving too much negative feedback from clients, the San Francisco-based exchange recently bought blockchain-infrastructure platform Bison Trails.
In Coinbase’s most recent institutional investor report on Latin America, “Where Next for Crypto in Latin America,” Brazil is cited 31 times, whereas Mexico (with a higher GDP but lots of crypto interest) is referenced just 17 times.
According to the research, in Brazil:
“Direct crypto trading is fast expanding.” Mercado Bitcoin, a local crypto exchange, has witnessed transaction volumes climb sevenfold year on year to August.”
The world’s second-largest cryptocurrency exchange, a core of the group’s Latam growth goals, has also been on the hunt for business development managers and executives as part of a Brazilian recruiting drive.
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It’s hardly surprising, given that Brazil is a hotspot for Bitcoin adoption. Rio de Janeiro, Brazil’s second-largest city, will accept bitcoin for some taxes in 2023, and according to triple-A, more than 10 million Brazilians possess cryptocurrencies.
According to Cointelegraph, 2021 will be the year of “mass adoption” in Brazil, with UFC stars and politicians joining in on the fun.
Please be aware that Cointelegraph has contacted out to Coinbase, 2TM, and Estado for comment and will provide updates as they become available.