PicPay suspends cryptocurrency trading due to “regulatory uncertainty”

PicPay announced on Friday afternoon (20) that it will pause its cryptocurrency operations in light of regulatory uncertainty in the sector. The decision does not affect the company’s participation in the Real Digital (Drex) tests.

“There is no change in our belief in technology as infrastructure, and we remain available to work with the Central Bank to stimulate and popularize this market in Brazil”said Anderson Chamon, Vice President of Products and Tech at PicPay in a note to Livecoins.

Chamon explains that after testing the market under the current regulations, the company decided to resume operations “when there is more clarity on the subject”.

PicPay and cryptocurrencies

PicPay launched its exchange last August and surpassed one million users in just five months.

Daniel Mandil, executive responsible for the operation, emphasizes that this is a strategic pause. “Despite recent regulatory progress, the definition of the legal framework remains open so far. We found that similar uncertainty exists in other countries, which are still searching for definitive models. This scenario has led us to this decision”explains.

The pause will also allow the company to focus the team’s efforts on the evolution of its ecosystem, with a focus on expanding the portfolio of products and services that make users’ financial lives easier.

“Cryptocurrencies generally represent a small percentage of any investor’s portfolio, so there is a world we can explore with other applications that complement the app experience and increase customer value”Mandil concludes.

In August, the company launched a new business unit dedicated to investments, which already has CDBs, LCIs and LCAs and more than 70 funds.

PicPay also offers digital accounts, cards, loans, insurance and shopping and has recently entered new growth opportunities such as Corporate Benefits. The teams that worked in cryptocurrencies will be reassigned to these other projects depending on each person’s profile.

What changes

This Friday (20) users were communicated with all the details about the next steps. As of today, it is no longer possible to buy cryptocurrencies via the app.

Users who have a balance of cryptocurrencies on PicPay can liquidate their tokens for free until December 11.

Those who want to keep assets have the option to transfer them to Foxbit, a broker specialized in cryptocurrencies. To do this, simply register your interest in the crypto section of the PicPay app from October 30.

Source: Live Coins