According to a Brazilian publication, Estado, Coinbase could complete the $2.2 billion acquisition of 2TM, the firm behind Mercado Bitcoin, by April.
Coinbase is apparently continuing its global acquisition plan by acquiring 2TM, the parent firm of Mercado Bitcoin in Brazil.
According to Estado, Brazil’s third-largest newspaper, the Coinbase acquisition might be completed next month. Negotiations for the purchase have been ongoing since 2022.
Mercado Bitcoin is Latin America’s largest cryptocurrency brokerage, and its parent firm, 2TM, is on track to become a billion-dollar company by 2021. 2TM, which is valued at $2.2 billion, has likewise pursued an acquisition strategy, focusing on lusophone countries in particular. In January, 2TM’s Mercado Bitcoin acquired Portuguese CriptoLoja, a Lisbon-based cryptocurrency exchange.
Meubank, MB Digital Assets, CriptoLoja, Bitrust, Blockchain Academy, MezaPro, Wuzu, and Portal do Bitcoin are now included under the 2TM holding company umbrella.
Coinbase’s announced intention to acquire 2TM suggests the company’s global acquisition strategy is snowballing. Following the acquisition of an Indian artificial intelligence firm to improve customer service when irate customer comments became too much, the San Francisco-based exchange recently acquired blockchain infrastructure platform Bison Trails.
Brazil is cited 31 times in Coinbase’s most recent institutional investor report on Latin America, “crypto in Latam,” whereas Mexico (with a higher GDP but plenty of crypto interest) is mentioned just 17 times.
According to the research, in Brazil:
“Direct crypto trading is growing rapidly. Locally based crypto exchange Mercado Bitcoin has seen transaction volumes increase seven-fold year-on-year to August.”
The world’s second-largest cryptocurrency exchange, which is a critical component of the group’s Latam expansion aspirations, has also been on the lookout for business development managers and executives as part of a Brazilian recruiting frenzy.
It’s unsurprising, given Brazil’s prominence in Bitcoin adoption. Rio de Janeiro’s capital will accept cryptocurrency for certain taxes in 2023, and triple-A estimates that more than 10 million Brazilians possess cryptocurrencies.
According to Cointelegraph, 2021 was the year of “mass adoption” in Brazil, as UFC fighters and politicians joined the fray.
Please note that Cointelegraph has contacted Coinbase, 2TM, and Estado for comment and will update this article if necessary.