“Today the option of digital money is getting bigger and there is no going back“, defined Manuel Breaudroit on the current panorama of cryptocurrencies in Argentina. It is worth remembering that our country is, according to Finder, one of the Latin American countries with the highest adoption of digital assets. Even, according to a recent Sherlock Communication survey, in 2022 , the cryptocurrency adoption rate in our country is expected to jump from 5.5% of the population to 18.4% (+235%).
In this context, Beaudroit points out that this is the ideal time to develop financial solutions. “We make a simple and intuitive product. The pandemic helped a lot to digitize the population,” she added. “Our mission is how to inspire people to create, that’s going to happen more on web3 than web2. We need to give access to technology for value creation to happen.”
For Lemon, with the crypto card it was possible that “any business in the world that accepts visa, is a place that also accepts crypto. In addition, If we understand Bitcoin as a store of value, when users make any purchase it is as if they give back a small piece of gold.”
“The growth of the crypto industry in Argentina is remarkable. Considering the rapid adoption of the crypto market in the economy of people, where more and more people are encouraged to buy and operate, we can speak of a x36 growth in the number of users and also in trading volume in the last 12 months,” Franco Bianchi said. A main challenge for these startups is user education. Not only provide simple tools and incorporate more people into “the crypto community” but also educate.
“Argentina is a breeding ground for everything that is crypto, largely due to the great recurrent economic problems that we have. There is a determining factor that has to do with local inventiveness, we are very good at solving problems. That is an incredible quality that when you find a technology like blockchain and you find solutions to systemic problems that one lives, new applications or business possibilities begin to flourish. Historically we have not had good financial services, so there is a certain permeability to see what options there are,” added Beaudroit, from Belo.
How do crypto cards work?
The particularity of the Lemon card is that it can be used in digital stores (for example, to pay for service platforms such as Spotify, Netflix or Steam) and physical stores that accept the visa network. “It works with the tourist dollar. That means that payments are made in pesos and the rate is that of the official dollar + 30% + 35%. Cashback also works internationally and 2% of the total consumption of the purchase is provided. The price is the one shown in the app at that time, but it corresponds to what is known as the “crypto dollar”, explained Franco Bianchi.
In addition, the Bitcoin that they receive as a prize in each purchase automatically activates the “Lemon Earn” function to generate weekly earnings in crypto while the digital currency is saved. These earnings, in turn, can be reused for everyday purchases with the card.
This card works as an extension of Lemon’s virtual wallet (Lemon Cash) that currently allows you to buy and sell cryptocurrencies (Bitcoin, Ethereum, Cardano, Theter, Uniswap and DAI) with pesos and generate returns. The user can choose which currency to pay in, be it Bitcoin, Ethereum, stablecoins or pesos. In case of paying with crypto, the automatic conversion will be done at the time of swiping the card so that the chosen digital currency is debited and the business receives pesos.
In the case of Belo, its distinction is its “Payment Profile” that allows you to choose which assets you want to spend and in what order. With the card, users will be able to make purchases with the card that automatically converts their cryptocurrency holdings to pesos at the time of payment, in any physical or virtual store that accepts MasterCard.
The user will be able to choose the balance of the cryptocurrency they prefer to make the payment such as Bitcoin, Ether and the stable coins DAI, USDC and USDT. In turn, it offers up to 21% cashback on each purchase with the physical or virtual card. The monthly cashback limit per person is $100,000. As for the rates that are paid (variable), today 5% is being paid in BTC and Ether; 8.5% in stablecoins.
What are the objectives?
The rapid adoption of crypto cards is already a fact. “Only in the first month of its launch (November 2021) we issued more than 100,000 cards and delivered more than 4 million pesos in Bitcoin as cashback. From that moment until now, adoption was massive. The Lemon Card allows you to live in Argentina without that feeling that pesos lose value in your pocket all the time because it allows you to stand in stable cryptocurrencies to the dollar and make consumption from there, “concluded Bianchi de Lemon.
Belo was even more optimistic: “Today we are at 140,000 users, having launched the application seven months ago and the card a month and a half ago. Our expectation is to reach one million users by mid-year.”
Source: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
