Mercado Bitcoin Deploys $20M in Private Credit on Bitcoin Sidechain

TLDR

• Mercado Bitcoin has successfully deployed over $20 million in tokenized private credit on the Bitcoin sidechain, Rootstock.
• The company aims to reach $100 million in private credit issuances by April, expanding its multichain tokenization strategy.
• The tokenized offerings include both Brazilian and foreign borrowers, with some debts tied to an American company.
• Mercado Bitcoin ranks among the top 10 tokenized private credit issuers globally with over $370 million in loans issued.
• The company has structured its offerings within Brazil’s regulated framework, using licenses from the Comissão de Valores Mobiliários and the Central Bank of Brazil.

Mercado Bitcoin has successfully deployed over $20 million in tokenized private credit using the Bitcoin sidechain, Rootstock. This move is part of the company’s expansion into real-world asset (RWA) tokenization and aligns with its goal of reaching $100 million in issuances by April. Mercado Bitcoin’s strategy involves using blockchain technology to give international investors exposure to Latin American private debt markets.

Mercado Bitcoin Launches $20M Tokenized Private Credit on Rootstock

Mercado Bitcoin’s recent tokenization of $20 million in private credit marks a significant step in its multichain tokenization strategy. The assets are issued on the Rootstock sidechain of Bitcoin and include a mix of receivables and corporate debt. These offerings target both Brazilian and foreign borrowers, with some debts tied to American companies as well. The offering was highly successful, with the $20 million issued quickly, fueling confidence for future growth.

Lucas Pinsdorf, business director at Mercado Bitcoin, explained, “What is particularly interesting is that these are not limited to Brazilian companies. Mercado Bitcoin also chose to issue debt for an American company.” With demand strong for tokenized private credit, Mercado Bitcoin aims to hit its $100 million target soon. The company’s recent success has already led to a rapid sell-out of the initial offerings, underscoring the growing interest in Latin American private debt markets.

Expanding Reach with Stellar and XRP Ledger

Mercado Bitcoin’s tokenization strategy now spans multiple blockchain networks, including the Stellar and XRP Ledger platforms. These planned RWA issuances are designed to offer more ways for international investors to access Latin American private debt markets. The company’s use of these different blockchains enhances the flexibility and security of its tokenized offerings, increasing accessibility for global investors seeking exposure to emerging market debt.

With these offerings, Mercado Bitcoin is positioning itself as a key player in bridging the gap between traditional finance and blockchain liquidity in the region. In Argentina, for example, crypto exchange Ripio has launched local currency stablecoins and tokenized sovereign exposure, mirroring Mercado Bitcoin’s drive to tokenize traditional finance instruments. These efforts are helping to bring more yield-bearing assets on-chain, creating new opportunities for investors in Latin America.

According to data from RWA.xyz, Mercado Bitcoin ranks among the world’s top 10 tokenized private credit issuers, with over $370 million in cumulative loans. Despite this success, the company is still behind the market leaders, who have issued at least $5.4 billion in private credit. However, Mercado Bitcoin is gaining traction as it continues to expand its offerings and strengthen its regulatory position.

The company has structured its tokenized private credit offerings within Brazil’s regulated framework. Mercado Bitcoin is leveraging licenses from the Comissão de Valores Mobiliários (CVM) and the Central Bank of Brazil to ensure its compliance with local financial regulations.

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