Bitso Introduces Juno, Launches Mexican Peso Stablecoin

The stablecoin market is heating up, and companies are now backing them with currencies other than the U.S. dollar. By Ben Reid.

Crypto exchange Bitso has announced the launch of MXNB, a stablecoin pegged to the Mexican peso. The token will be deployed on Arbitrum and seeks to bring the utility of the peso to several use cases, including remittances and cross-border payments.

To spearhead this venture, Bitso Business has created Juno, a new subsidiary dedicated to digital assets and stablecoin issuance.

The subsidiary will also tokenize equity in private companies in Latam, aiming to connect the region’s startup ecosystem with global crypto traders.

Connecting the Mexican Peso to DeFi

As a fully-backed stablecoin pegged to the peso, MXNB is designed to offer several advantages over traditional financial products.

Institutions can easily exchange dollar stablecoins for MXNB to complete cross-border payments without the need for banks, facilitating more efficient transactions.

Furthermore, MXNB paves the way for Mexican fintech companies to provide fully independent peso-based savings accounts, fostering an on-chain economic activity that is disconnected from the traditional finance institutions.

This stablecoin can also be adopted by remittance operators, who can lower their operational costs by opting for cryptocurrency rails to transfer funds between the U.S. and Mexico.

“Stablecoins provide a unique opportunity for companies entering new markets to quickly integrate and begin operations in a seamless manner, which is especially pertinent for companies entering Latam,” said Ben Reid, Head of Stablecoins at Bitso Business.

”With Juno, we will be a key player to issue and exchange digital tokens that can foster the region’s opportunities.”

This initiative marks a significant step in expanding the cryptocurrency market in Latin America, where Bitso is already a leading player.

The exchange processes over $1 billion in transaction volume each month and serves more than 4 million users.

Earlier this year, Bitso also launched a Bitcoin trust product in partnership with Fidelity.

This move reflects the growing interest in stablecoins as a means of facilitating cross-border payments and other financial transactions. Several companies are now backing stablecoins with currencies other than the U.S. dollar.