Mercado Brazil Eyes Regulatory Approval To Start Operations in Mexico

• Mercado Bitcoin is going to obtain a licence in Mexico and operate very soon.
• This may be the biggest competition for the crypto exchange Bitso.

Mercado Bitcoin, a Brazilian crypto exchange, might start operating in Mexico as early as 2022 if the regulatory license is granted. Mexican regulators have yet to give the go-ahead for the commencement of Mercado Bitcoin’s activities in the country. Rabelo claimed that purchasing a crypto exchange was a simpler way to enter a new market rather than starting from scratch. The expansion specifics remain unknown.

2TM Group, the firm that owns Mercado Bitcoin, purchased a majority position in CriptoLoja, a Lisbon-based crypto exchange, in January. Coinbase is purportedly in negotiations to acquire the company 2TM, which had a value of more than $2 billion.

While Rabelo allegedly claimed that 2TM was “looking at the Latin American market a bit more cautiously due to the macroeconomic scenario,” he made no mention of the company’s potential future expansion plans. There are several Brazilian and Portuguese companies using 2TM, among them are companies such as Mercado Bitcoin and Blockchain Academy, and CriptoLoja to name a few.

Mercado Bitcoin and Current Market

If Mercado Bitcoin expands to Mexico, it would face competition from Bitso, a crypto exchange that already serves Argentina, Brazil, El Salvador, and Colombia, among other countries. Some Mexican legislators want to make Bitcoin (BTC) legal cash, as neighboring El Salvador did in September 2021, although a central bank digital currency (CBDC) will be introduced in 2024 as well.

A new high of $23k was achieved by Bitcoin. The 50-day and 200-week moving averages (MAs) have yet to change from resistance to support, which means that the pair traded in a vital area for bulls on the day.

To gauge the strength of Bitcoin’s recent advance, which saw weekly gains of up to 25%, analysts were waiting for the weekly candle closure.