Binance partner Latam Gateway has been authorized to operate as a payment institution and e-money provider in Brazil.
On May 19, the country’s central bank granted Latam Gateway, the payment provider for Binance in Brazil, the right to operate as a payment company and e-money provider, according to local media. Brazil is one of Binance’s global markets, the exchange said in a statement.
Latam Gate helps foreign companies to operate in Brazil by providing entry and exit for the Brazilian Real. According to the company’s website, Binance is its only crypto exchange in the country.
Other involved customers include game-related companies such as Codashop, Moedaz and Game Hollywood. Binance Gateway and Latam have been partners since June 2022, when Binance-Capital’s cooperation in the country ended.
Brazil’s market of nearly 214 million people has attracted cryptocurrency companies to the country. In January, Binance and Mastercard joined forces to launch a prepaid crypto card in the country, allowing residents to buy and pay for more than 14 crypto assets through the conversion of cryptocurrency to fiat.
Cardholders are required to follow your customer policy. Coinbase is expanding its operations internationally. Since March, the exchange has been working with local money providers to offer cryptocurrency purchases, as well as to allow deposits and deposits in the local currency. Coinbase has been in the country since 2021 when it created a technology hub that offers crypto services to Brazilians.
Brazilian regulators are paying attention to the crypto industry. Binance is reportedly being investigated for allegedly helping traders evade the stop-loss system in cryptocurrency investments.
In 2020, Brazil’s Securities and Exchange Commission issued a stop-loss order for crypto derivatives. A futures contract is considered a security under local law, regardless of the type of underlying asset.
According to a local research paper, the Binance platform posted instructions for Brazilian users to change the language settings to access the Binance Futures platform.
In addition, the authorities said that a large amount of content in the Portuguese language is available without notice restricted to Brazilian users. Canadian and US securities regulators have conducted similar investigations into crypto exchanges.