Free market, The largest e-commerce company in Latin America and PayPal announced on Thursday (30) the integration of payment services in Brazil and Mexico.
So from now on, PayPal will be rolled out gradually through mid-August and is available as a payment option from online merchants in Brazil and Mexico that accept Mercado Pago for both online purchases and a Mercado Pago payment link.
According to a statement sent to Cointelegraph, around 346 million PayPal customers can buy products from hundreds of thousands of online companies.
In addition, these customers have the option to pay with PayPal on the free market in Brazil and Mexico and to access the platform from outside these countries.
“”Mercado Libre and PayPal share the vision of enabling sellers to compete and expand online retail worldwide“says Federico Gómez Schumacher, General Manager of PayPal Brazil and Mexico.
“T.Together, we use our scale and capabilities to promote inclusion and access to the global digital economy“says Schumacher.
This gives merchants both domestically and externally access to a larger consumer base and can connect to a robust ecosystem of digital payment and financial services solutions for consumers.
In addition to increasing the platform’s distribution capacity, the association will also expand purchasing power and options for thousands of consumers around the world.
“”All of our electronic commerce and financial technology services put us in a unique position to contribute to the democratization of trade and access to money in Latin America. The partnership with PayPal also strengthens us in this regard and helps to expand the advantages that we already offer to consumers and sellers in our region.“said Paula Arregui, Director of Operations and Vice President for Payment Market Operations.
Association in practice
Residents of Brazil and Mexico who access Mercado Libre from other countries can use PayPal as a form of payment for their purchases.
Foreigners who shop in Mercado Libre with deliveries to Brazil and Mexico from anywhere in the world can also use PayPal as a form of payment.
In the first cases The association will only be available for transactions made over the Internet, mobile or computer, and will be available through the application at the end of the third quarter of this year.
For Mercado Pago sellers, PayPal will be available with a new online payment method for transactions inside and outside of Brazil and Mexico.
According to the announcement, for example A resident of Mexico can use PayPal with local providers by accessing these websites inside or outside of Mexico.
The function is available to all buyers who access the Mercado Pagos check-out in an online shop or who use a Mercado Pago payment link.
Integration with Mercado Pago is expected to be completed in mid-August.
As the next step of the association in the coming months Payment market users in Brazil and Mexico can receive transfers from Xoom (PayPal Holdings Inc.’s international money transfer service) to their payment market accounts.
In addition, Mercado de Pago will be integrated into the PayPal platform to be presented as an alternative payment method to PayPal sellers outside of Brazil and Mexico.
As a result, PayPal users can use their digital accounts to shop on overseas websites that offer PayPal as a form of payment.
In the case of Bitcoin, as reported by Cointeleraph, Rumor has it that the payment giant has partnered with stablecoin operator Paxos.
In this way, The company would have in its plans to accept cryptocurrencies as a form of payment or as a system for buying and selling bitcoins, all made possible by Paxos.
Paxos offers services that other companies can use to integrate functions for trading cryptocurrencies.
The service can be used by simply integrating the application’s programming interface and also manages regulatory compliance.
The possible union of PayPal with cryptocurrencies is not new.
In 2018, the company purchased advertising space during the Consensus cryptoconference held in New York.
However, The company said at the time that this was just a marketing measure and it did not mean that it had plans to enter the cryptocurrency market.
Already in 2019, the payment giant signed Facebook’s proposal to create Libra, a stable coin supported by a basket of national currencies.
However, After a wave of skepticism from the public and regulators, PayPal later withdrew from the idea in October 2019.
This spring, however A letter from PayPal to the European Commission emphasized that the company is continuing to develop its own resources in the crypto environment.