Nubank, the Brazilian neobanking unicorn, is set to enable its customers to make crypto withdrawals from its platform following a deal allowing them to trade USD Coin (USDC). Responding to calls from the Brazilian Bitcoin community, Nubank announced that users will be able to make crypto withdrawals from its banking app starting next year.
This decision came in response to frustrations expressed by an online instructor on social media in late November. The instructor pointed out the perceived unfairness that Nubank customers could buy BTC but couldn’t use the bank’s app to make payments in Bitcoin. Nubank’s move is seen as a response to the growing demand and interest in crypto-related services among its user base.
Brazilian Banks Making Crypto Moves
Nubank initiated the addition of crypto pairs to its traditional banking app last year, offering trading options for BTC and Ethereum (ETH), as well as an expanding list of altcoins. While customers could trade or sell cryptocurrencies for fiat on the platform, they were unable to transfer them to other wallets or use them for payments.
In response to growing demand, Nubank confirmed a significant change for the New Year. Users will be able to make crypto withdrawals from the banking app, and the platform will also introduce USDC pairings. The addition of USD Coin pairs comes after Nubank struck a cooperation deal with Circle, the operator behind the USD-pegged stablecoin. This move aims to cater to the increasing demand for stablecoins, particularly USDC, among Brazilian users.
Thomaz Fortes, the Executive Director of Nubank’s crypto arm Nubank Cripto, highlighted the platform’s future plans with the addition of USDC pairings. Fortes stated, “With the new addition, we are beginning to explore future integrations of Nubank Cripto with other services available in our app. We aim to offer even more options and flexibility to our users.”
Nubank expanded its crypto support by adding 11 altcoins in 2023, bringing the total number of supported coins to 15, including Nucoin, its own cryptoasset and loyalty token. The move to enhance crypto offerings aligns with the broader trend of financial institutions exploring and integrating cryptocurrency services to meet the evolving preferences of their user base.
Earlier in March, Nubank appointed David Marcus, formerly the head of blockchain at Meta (formerly Facebook), as a board member, signaling the company’s commitment to advancing its crypto-related initiatives. The addition of a crypto trading service by Itaú Unibanco, Brazil’s largest private bank, further underscores the growing interest in crypto-related services in the country.
