Bitso-backed Juno Labs Enters the Stablecoin Market with MXNB, a Mexican Peso-pegged Token

The company's business development unit, Bitso Business, has established Juno, a subsidiary dedicated to issuing and managing digital assets including stablecoins.

Latin American crypto exchange Bitso is entering the increasingly attractive stablecoin market as global adoption accelerates.

The company's business development unit, Bitso Business, has established Juno, a subsidiary focused on issuing and managing digital assets, including digital currency, and announced the launch of its first token: a fully-backed Mexican peso (MXN) stablecoin.

The token, deployed on Ethereum layer-2 Arbitrum, will aim to facilitate cross-border payments and financial transactions between businesses in Latin America. It also appointed Ben Reid as head of stablecoins.

"Global companies face significant monetary challenges when it comes to serving customers in new markets and conducting cross-border payments, including high intermediary costs and inefficient transaction times," said Reid.

"Stablecoins are providing a fast, cost-effective and transparent fiat-pegged alternative and have been instrumental in expanding access to foreign markets and transforming payments worldwide. At Bitso, we are constantly looking for ways to innovate and introduce new solutions that will benefit the Latin American market.

"With the launch of Juno and its new MXNB stablecoin, we aim to help global companies to do business in Latin America in a more efficient way."

Stablecoins, now a nearly $230 billion asset class, have been one of the biggest success stories in crypto adoption. With prices pegged to an external asset, predominantly to fiat currencies like the U.S. dollar, they offer a cheaper and faster alternative to traditional financial rails for payments, remittances, savings and currency conversion. They are especially popular in developing countries with large unbanked populations or fragile local currencies.

Meanwhile, regulations around the world are being laid down or advanced to fit stablecoins into the global financial system.

To support adoption of its stablecoin, Juno has launched the Juno Mint Platform, which provides APIs and tools for businesses to issue, redeem and convert MXNB. The service also enables fiat on- and off-ramps with Mexico’s SPEI banking system and stablecoin-to-stablecoin currency exchange.