Paxos and MercadoLibre team up to bring USDP to Mexico

The move provides access to PAX Coins to over 3.1 million Mexican cryptocurrency users.

Blockchain financial technology company Paxos and online marketplace MercadoLibre entered into a partnership to bring the Pax dollar (USDP) to Mexico through the MercadoPago payment service on June 28.

According to a press release shared with Cointelegraph, USDP will be available to all MercadoPago customers across Mexico. Although the company is based in the United States, with offices in New York, London and Singapore, more than 60% of its active portfolios support clients throughout Latin America.

Mexico currently has a 9.3% penetration rate for cryptocurrency use, with over 12 million users, according to a report by Statista. By 2027, analysts estimate that more than 20 million people in Mexico will own cryptocurrencies, bringing the total penetration rate to 14.6%.

Introducing USDP to the MercadoPago payment ecosystem adds stable coin access to the service's options in Mexico, a feature that could provide much-needed relief from unnecessary remittance fees for a significant number of users.

While Venezuela may lead the way in cryptocurrency adoption among Latin American countries, Mexico ranks first in total transactions. This is largely due to the number of remittances, with only India receiving more.

Related: Why Crypto Money Transfer Companies Are Flocking To Mexico

Paxos is well known in fintech thanks to its various transactions, including