Will Mexico be next El Salvador in accepting Bitcoin as legal tender?

Be the First to Comment Read

Will Mexico be next El Salvador in accepting Bitcoin as legal tender?

 Will Mexico be next El Salvador in accepting Bitcoin as legal tender?
Image source: © Artyooran | Megapixl.com

Highlights

  • Mexican Senate building now has seen the installation of a Bitcoin (BTC) ATM.
  • The Bitcoin ATM, the country's 14th in all, showcases the growing interest in the leading cryptos and how it could become one of the region's leading countries to adopt BTC as legal tender.
  • Bitcoin has already surpassed the transaction volume of payments in the country made through traditional payment systems like PayPal, Visa, and MasterCard.

After El Salvador, Mexico is lined up as the next South American nation for full Bitcoin adoption. During the Bitcoin 2022 conference in Miami, Mexican Senator Indira Kempis hinted that the government is forming legislation to adopt Bitcoin as a legal tender.

During the Bitcoin conference, which was held earlier this month on 6-9 April, the Senator suggested that if the law is passed, it could well become the first of its kind law between North America and Mexico. 

In fact, leading crypto firms such as Bitso, Coinbase, and Circle have already started lining up by offering their crypto services to ensure a steady flow of money between Mexico and the United States. 

Installation of Bitcoin ATM at Mexican senate

Now, just weeks after Senator Kempis' claims, the Mexican Senate building now has seen the installation of a Bitcoin (BTC) ATM. The Bitcoin ATM, the country's 14th in all, showcases the growing interest in the leading cryptos and how it could become one of the region's leading countries to adopt BTC as legal tender. 

Mexico already had Bitcoin ATMs in major cities such as Tijuana, Cancun, Guadalajara, Culiacan, San Miguel de Cozumel, and Aguascalientes according to Coin ATM radar.

The ATM was installed on Tuesday, and not surprisingly, Senator Kempis was one of the first to showcase her emotions upon installing the Bitcoin ATM. She expressed her joy by quoting ‘for freedom, inclusion, and financial education in Mexico’ in a tweet.

Just days after its installation, it was reported that Bitcoin transaction volumes had surpassed payments made through the traditional mode such as PayPal, Visa, and MasterCard. 

The steady growth of cryptos

Cryptocurrencies in Mexico have been growing gradually over the past few months. According to data from analytics firm Triple-a.io, approximately 2.5% of Mexicans own cryptocurrencies, which account for 3.1 million citizens. 

The report further highlights that approximately 40% of Mexican companies are keen to work on blockchain and cryptocurrency projects, and if we are to bifurcate this segment, then 71% of them are explicitly focused on cryptocurrency usage. 

The growing interest and developments showcase that Mexico could well be on its way to accepting Bitcoin as legal tender someday soon. However, with talks of regulating it first, it will be interesting to see whether the government first brings out a law to regulate it and or will it adopt it as a legal tender and then formulate the law as seen in the case of El Salvador. 

Risk Disclosure: Trading in cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory, or political events. The laws that apply to crypto products (and how a particular crypto product is regulated) may change. Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading in the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed. Kalkine Media cannot and does not represent or guarantee that any of the information/data available here is accurate, reliable, current, complete or appropriate for your needs. Kalkine Media will not accept liability for any loss or damage as a result of your trading or your reliance on the information shared on this website.

Disclaimer

Speak your Mind

Featured Articles