Mass adoption looms as the second-largest company of South America started accepting crypto payments. Moreover, Mercado Libre’s move in South America, in accepting cryptocurrency payments for real estate could usher in a different way of crypto mass adoption.
MercadoLibre (MELI) is one of the largest online marketplaces in Latin America. They launched a real estate section on April 28. The section is dedicated to cryptocurrencies. Though the company does not settle any property transactions directly, it helps by legitimizing this category as a payment system.
However, with a worth of $81 Billion, MELI becomes the second-largest company in South America. Additionally, LEMI is also present in 18 other countries that include the three largest markets Argentina, Brazil, and Mexico.
Moreover, the group also owns a digital payment system called Mercado Pago for all online and offline transactions. Additionally, the group has a logistics platform called Mercado Envios that provides warehousing, fulfillment, and shipping services.
This current offer also includes condos, houses, land, vacant lots, and commercial real estate in Buenos Aires, Santa Fe, and Cordoba.
South America’s new use-case of Cryptocurrency
More than 300 real estate agents took part in the MICA’s webinar. The webinar explains the basic mechanics of crypto currencies and their impact on the sector. However, the news might have a reduced impact as 90 offers have already been placed.
Moreover, the prices continue in US dollars. Though the properties get paid in US dollars, Argentine Pesos, or Brazilian reais, the transactions get handled outside the MICA platform and combined among the parties.
Thus, the buyer can contact the real estate agent after choosing the property. Additionally, they can also request to carry out the transaction using Cryptocurrency at the deal closing with the exchange rate. However, analysts might have failed to see the true potential of Bitcoin, Ether, and Tether to serve effectively as a means of exchange in Argentina.
How has inflation impacted Crypto adoption worldwide?
Argentina has chances for ending as the poster-child for cryptocurrency adoptions since the Country’s gross domestic product declined by 10% in 2020, along with its cumulative inflation hitting 42.6% over the last 12 months.
