Mercado Bitcoin Sees SME Treasuries Hold 10–15% of Custodied Assets in BTC and Stablecoins

The Brazilian firm is embracing an 'invisible blockchain' strategy to become a 'super app' for finance, de-emphasizing crypto trading in favor of tokenized credit, payments, and other financial services.

BTC

Summary

Brazilian crypto exchange Mercado Bitcoin is pivoting its business model from a trading platform to a comprehensive 'financial hub.' According to its head of corporate development, the company aims to become a 'super app' by offering services like payments, digital fixed income, and remittances, using an 'invisible blockchain' strategy that avoids crypto-native terminology. Trading revenue has decreased from 95% to 60% of its total income and is projected to fall below 30%. The firm is focusing on tokenized investment products, aiming to surpass $560 million in tokenized credit issuance by year-end. Currently, tokenized real-world assets (RWAs) constitute 20% of assets under custody, while small and medium enterprises continue to use the platform for treasury management, holding 10-15% of custodied assets in Bitcoin and stablecoins.

Terms & Concepts
  • Tokenization: The process of converting rights to a real-world asset into a digital token on a blockchain, enabling easier transfer and fractional ownership.
  • Real-World Assets (RWAs): Tangible or intangible assets from the traditional financial world, such as private credit or real estate, that are represented as tokens on a blockchain.
  • Super App: A mobile application that combines multiple services, such as payments, financial transactions, and investing, within a single, integrated platform.