After a year of good news for the business – such as a millionaire FTX contribution -, Transfero is now aiming at its international expansion. And it is precisely the injection of R$ 40 million from Alameda/FTX that will allow this expansion to Latin American countries, says Thiago César, CEO of Transfero, in an interview with CoinTelegraph.
According to the executive, these countries have “cases of obvious use of digital assets mainly due to issues related to capital control and inflation”.
The focus will be on “payment areas, stablecoins and asset management”. “The idea now is to expand the markets where we already operate geographically”, Caesar said, without revealing details. “But our customers and the market will see new products and services from Transfero in the coming years”.
“It’s a win-win situation that will increase the possibility of exchanging state money for digital assets”, he says.
Besides, César evaluates that this expansion “provides FTX access to these countries, given our experience with the local market”. “It’s a win-win situation that will increase the possibility of exchanging state money for digital assets”, he says.
Millionaire contribution, tokenization of Real, and an international alliance in this interview with the CFO and CEO of Transfero Swiss AG
In an exclusive interview, Cointelegraph talks to Thiago Cesar and Carlos Russo of Transfero Swiss AG
Transfero Swiss is one of those companies that has taken Brazil to the world, making Brazilian projects visible in the international cryptocurrency scene.
To those who wonder at the idea of growing up in a crisis scenario due to the new coronavirus, César explains that crypto benefits in a “more complex economic context”.
“Amid these uncertainties, the fact that digital assets are traditionally uncorrelated, that is, behave in reverse to global problems and instabilities, attracts investors’ attention as a natural hedge to these uncertainties”, he says. He lists the United States elections and a possible departure of Russian President Vladimir Putin as factors that generate doubts in the market.
Transfero: 1st Brazilian company to become consistently international
César also recalls that Transfero was “the first Brazilian digital asset company to becomes international consistently.”The regulation explains this decision to settle in Switzerland. In this case, by the lack of such regulation in Brazil, according to Carlos Russo, CFO of Transfero.
“The environment in Brazil and South America, in general, has many uncertainties because there is no regulation on potential regulatory frameworks that are restrictive for the crypto assets market”, Russo notes. He clarifies that the company follows the Internal Revenue Service regulations for the crypto market and maintains good practices. But stresses that “there is still an uncertainty on how to treat cryptoassets accountably. All this will only be resolved when there is a regulatory framework”.
Therefore, Switzerland has emerged as an option. At the time, Russo points out, the country was the primary regulated market. Thus, Transfero was able to “learn good practices and gain insights” for the business and contribute to Brazilian regulation.
Brazilian is more open to crypto
When analyzing Brazil, Russo sees “more and more companies using cryptocurrencies as a means of payments. And the Brazilian, increasingly investing in bitcoin and alternative currencies also as part of an investment portfolio”. He also says that turnover grows year by year.
Transfero’s CFO also commented on the advantages of BRZ — the stablecoin of Transfero pegged to the real. He emphasized “the inclusion of more people in the crypto investment ecosystem”. One of the main reasons, is because you just need a cell phone to make the investments. He also pointed out that BRZ is a way for people to have real positions abroad, which was not possible before the stablecoin. That’s because the real is in the non-deliverable forwards’ group. “That is, it cannot be traded or maintained by any player abroad”, he recalls.
Another benefit is accessing platforms and assets that are not available in the domestic market. The list of possibilities include, for example, loans in DeFi protocols (decentralized finance).
BRZ is an opportunity for international players
From the international market perspective, Russo explains that these players see Transfero’s stablecoin as an opportunity. For them, BRZ allows to “conquer and retain customers in the Brazilian market”.
Also, commenting on the creation of the Stablecoin Alliance, of which BRZ is one of the creators and founders, César listed the association’s goals. These include, for example, promoting the use of stablecoins and encouraging good compliance and safety practices.
Regarding the companies outside Coinmarketcap’s Top 50, Russo pointed to Serum, owner of the SRM governance currency. “It’s an interesting project because it replicates an exchange environment in a fully decentralized way and is therefore immune to any regulatory and government interference. In addition, it runs on the Solana blockchain, at a lower cost than Ethereum, it can trade thousands of transactions per second and operate with derivatives”.
Caesar, on the other, highlighted the Parsiq. “It is a technology of monitoring flow and traffic on the blockchain, still unprecedented at the protocol level. They can monitor any blockchain and notice big moves, send push notifications, among other features”. And among the Top 50 companies, he drew attention to the Algorand blockchain. “Especially when it comes to the importance of stablecoins”, he explains.