According to Techub News, USDC has been integrated into the national real-time payment systems of Brazil and Mexico (PIX and SPEI, respectively). Circle said that this means that companies can now obtain USDC directly from financial institutions in Brazil and Mexico (converting Brazilian real and Mexican peso directly into USDC) without remitting funds to overseas banks. They can use USDC for their own corporate purposes and offer it as an option to their retail customers.
Circle said that cross-border flows of funds in Latin America are mainly denominated in U.S. dollars. Mexico is one of the largest trading partners of the United States, and the two countries trade more than $800 billion in goods and services each year. In Brazil, 95% of the country's $640 billion in annual foreign merchandise trade is settled in U.S. dollars, and the total direct trade between the United States and Brazil is about $120 billion per year.
In addition, the remittance corridor from the United States to Mexico is the world's largest funding corridor, with remittances exceeding US$63 billion in 2023, a 7% increase from 2022, accounting for 4% of Mexico's GDP.
