Brazil's largest bank Itau launches cryptocurrency trading service, offering Bitcoin and Ethereum trading.

Reuters reported that Brazil's largest bank, Itau Unibanco, launched cryptocurrency trading services on December 4, targeting both local and international markets. Currently, the platform only offers trading for Bitcoin and Ethereum, but the bank executive mentioned that they plan to add more cryptocurrencies in the future based on local regulatory conditions.

Brazilian Banking Giant Ventures into Cryptocurrency Trading

As the largest bank in Brazil and Latin America, Itau Unibanco announced its foray into the cryptocurrency space by offering cryptocurrency trading services to its investment platform users.

Guto Antunes, Itau's digital asset manager, stated:

Initially, we are offering trading for Bitcoin and Ethereum, but we plan to expand to other cryptocurrencies in the future. However, any expansion will depend on the development of cryptocurrency regulations in Brazil.

Itau also emphasized its competitive advantage in not only serving as a trading services provider but also as a custodian of digital assets, ensuring the security of users' assets.

Reuters pointed out that the bank's main competitors will include local and global enterprises such as the Brazilian exchange MB, investment bank BTG Pactual, and international exchange Binance, among others.

This move seems to be driven by the high adoption of cryptocurrencies in the country. Previously, the local tax authorities revealed that the trading volume of the US Dollar stablecoin $USDT in Brazil has rapidly grown in the past two years, surpassing not only BTC but also the total of some mainstream tokens. Authorities are considering imposing more taxes on this.

Effective as of New Year's Day, Brazil will impose a 15% tax on overseas investment returns, and offshore cryptocurrency platforms will also be included.

However, last month, two local cryptocurrency service providers announced their exit from the market citing regulatory uncertainty.

Strong Surge in Cryptocurrency Market Draws Attention

TradingView data shows that Bitcoin $BTC surpassed $42,400 yesterday, reaching the price level of April last year, with an increase of about 156% since the beginning of this year.

On the other hand, Ethereum $ETH, although reaching a new high of $2,270 in a year and a half, hitting the price level of May last year, has only risen by about 87% this year, but it is still a significant increase.

Perhaps the impressive performance of the cryptocurrency market and the potential approval of a Bitcoin spot ETF have attracted banks and institutions from various countries to enter the cryptocurrency field.

BITO reaches a new high, asset management companies continue to be bullish on Bitcoin, and the spot ETF is expected to be approved in January next year.

Robinhood also indicated in a document submitted to the SEC yesterday that its cryptocurrency trading volume in November was about 75% higher than the previous month, seen as a turning point after the decline in cryptocurrency revenue for two consecutive quarters.

Previously, the company also disclosed that it plans to open cryptocurrency trading services to the European Union in the coming weeks.