Dock, a Brazilian financial services company, has announced that it would begin using cryptocurrency for overseas payments.
According to a Reuters story published on January 21, the financial service provider intends to expand across LATAM and Europe shortly. The idea is to convert Brazilian reais into bitcoin, which will be exchanged for another currency, such as the US dollar. Finally, users will access the service through Dock clients like Vivo and Natura&CO.
Cryptocurrency will be used to provide a “quick and cheap” way of international transfer
The increased popularity of cross-border payments has created a profitable market for fintech firms like Wise and Remessa Online. As a result, small companies may provide services at a cheaper cost than traditional banks.
According to Dock’s Frederico Amaral, employing this service will make it easy and cheap to transmit money across borders.
Dock was formed in 2014 when Riverwood Capital, a North American venture capital business, bought it. It was previously known as Conductor.
The company is presently planning to go public as it approaches banks’ initial public offering (IPO) in the United States. Dock was also able to buy competitor Brazilian Pre-Pagos after gaining clearance from Brazil’s Central Bank (BPP).
Brazil sees a surge in cryptocurrency use
In recent months, interest in cryptocurrencies has skyrocketed in Brazil. In July of last year, Joo Manoel Pinho de Mello (BCB), Director of the Central Bank of Brazil, stressed the importance of digital money in his nation. He stated that shortly, Brazil will investigate strategies for transitioning from paper money to digital money.
A Brazilian lawmaker suggested paying staff with digital currency in November 2021. If the measure is passed, it will be the major national push to promote digital asset use since El Salvador’s legal tender bill.