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Nubank reaches 1 million crypto customers in Brazil in three weeks

July 28, 2022
Por
Carlos Sambrana
Carlos Sambrana
Cofundador do NeoFeed
📷
Portafolio
The number was expected only by the end of the year and shows how fintech has been able to increase cross sell to its customer base.
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At a time when the market is going through what has been called "crypto winter" due to the sharp drops in cryptocurrency values, Nubank is showing that this segment is far from cooling off.

The fintech company exclusively revealed to NeoFeed that it has reached 1 million clients transacting on its cryptocurrency platform, Nucripto, in Brazil. What catches the eye was the time in which it reached that plateau.

"We are super impressed with the speed. It was a goal for a year of operation and we achieved it in three weeks," David Vélez, cofounder and CEO of Nubank, tells NeoFeed.

The platform was launched in a test phase in May for a few users and opened to all 60 million customers in June. There, Bitcoin and Ethereum can be bought and stored starting at R$1.00.

Gradually, says Vélez, the platform should add other currencies. "It's an easy experience to invest in, but we want to avoid speculation," says the entrepreneur. "That's why we've been creating educational content."

This is actually a first step for the fintech in the Web3 area. Other novelties such as tokenization of assets, following the example of what Mercado Bitcoin does and which Itaú announced last week, should enter in the future.

Nubank's crypto platform also comes at a time when big players have been moving to occupy a prominent space amid an invasion of international players such as Binance, Cripto.com, FTX, Gemini, among others.

Besides Mercado Bitcoin, which pioneered the segment, banks such as BTG and platforms such as Avenue, invested by Itaú, have launched their exchanges. XP, in turn, is close to opening one. PicPay has also created a Crypto and Web3 unit and is going to list its own currency on the world's main exchanges.

Nubank's rapid advance in crypto also brings another perspective for the fintech. "It is proof of our great cross sell potential for our customer base," says Vélez.

In the first quarter of this year, Nubank had 46.5 million active customers. And average revenue per customer reached $6.7. By bringing in more verticals, the fintech is growing revenue.

"We started with cards, then we launched NuConta, we came with insurance, investments, crypto," says Vélez. He continues. "We will create other business units further down the road."

Nubank knows it needs to convince the market. The company went public in October last year with its shares trading at $11.8 and today they are priced at $4.1 - a 65.3% drop. The company is valued at $19.17 billion.

"They are streamlining efficiency, cutting some costs and adjusting fees, while the recent announcement to reduce funding costs, in our view, shows that they understand the increased urgency to make a profit," wrote BTG analysts Eduardo Rosman, Ricardo Buchpiguel and Thiago Paura.
Las opiniones compartidas y expresadas por los analistas son libres e independientes, y de ellas son responsables sus autores. No reflejan ni comprometen el pensamiento u opinión de Latam Fintech Hub, por lo cual no pueden ser interpretadas como recomendaciones emitidas por la platafomra. Esta plataforma es un espacio abierto para promover la diversidad de puntos de vista sobre el ecosistema Fintech.

At a time when the market is going through what has been called "crypto winter" due to the sharp drops in cryptocurrency values, Nubank is showing that this segment is far from cooling off.

The fintech company exclusively revealed to NeoFeed that it has reached 1 million clients transacting on its cryptocurrency platform, Nucripto, in Brazil. What catches the eye was the time in which it reached that plateau.

"We are super impressed with the speed. It was a goal for a year of operation and we achieved it in three weeks," David Vélez, cofounder and CEO of Nubank, tells NeoFeed.

The platform was launched in a test phase in May for a few users and opened to all 60 million customers in June. There, Bitcoin and Ethereum can be bought and stored starting at R$1.00.

Gradually, says Vélez, the platform should add other currencies. "It's an easy experience to invest in, but we want to avoid speculation," says the entrepreneur. "That's why we've been creating educational content."

This is actually a first step for the fintech in the Web3 area. Other novelties such as tokenization of assets, following the example of what Mercado Bitcoin does and which Itaú announced last week, should enter in the future.

Nubank's crypto platform also comes at a time when big players have been moving to occupy a prominent space amid an invasion of international players such as Binance, Cripto.com, FTX, Gemini, among others.

Besides Mercado Bitcoin, which pioneered the segment, banks such as BTG and platforms such as Avenue, invested by Itaú, have launched their exchanges. XP, in turn, is close to opening one. PicPay has also created a Crypto and Web3 unit and is going to list its own currency on the world's main exchanges.

Nubank's rapid advance in crypto also brings another perspective for the fintech. "It is proof of our great cross sell potential for our customer base," says Vélez.

In the first quarter of this year, Nubank had 46.5 million active customers. And average revenue per customer reached $6.7. By bringing in more verticals, the fintech is growing revenue.

"We started with cards, then we launched NuConta, we came with insurance, investments, crypto," says Vélez. He continues. "We will create other business units further down the road."

Nubank knows it needs to convince the market. The company went public in October last year with its shares trading at $11.8 and today they are priced at $4.1 - a 65.3% drop. The company is valued at $19.17 billion.

"They are streamlining efficiency, cutting some costs and adjusting fees, while the recent announcement to reduce funding costs, in our view, shows that they understand the increased urgency to make a profit," wrote BTG analysts Eduardo Rosman, Ricardo Buchpiguel and Thiago Paura.
Las opiniones compartidas y expresadas por los analistas son libres e independientes, y solamente sus autores son responsables de ellas. No reflejan ni comprometen el pensamiento o la opinión del equipo de Latam Fintech Hub y, por lo tanto, no pueden interpretarse como recomendaciones emitidas por la plataforma. Esta plataforma es un espacio abierto para promover la diversidad de puntos de vista en el ecosistema Fintech.

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