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Softbank-backed Mercado Bitcoin acquires Portuguese exchange

Updated: Jul 25, 2024
Published: Jan 12, 2022
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Brazil's 2TM Group, the operator of Latin America's largest cryptocurrency exchange Mercado Bitcoin, is expanding into Portugal with a strategic acquisition.

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The deal is expected to help 2TM expand in Europe

The company on Wednesday officially announced the acquisition of a majority stake in CriptoLoja, a Lisbon-based crypto exchange licensed by the Portuguese Central Bank. The Brazilian company, which is valued at around $2.2 billion, declined to disclose the terms of the acquisition but said the deal still needs to be approved by Banco de Portugal, the country's central bank.

The new deal is expected to help 2TM expand in Europe with over-the-counter exchange services. The company also plans to offer Mercado Bitcoin's services to retail and institutional investors in Portugal. The new acquisition was made possible after several large funding rounds in 2021, in which 2TM raised more than $250 million from investors such as the Japanese financial giant SoftBank, bringing its valuation to more than $2 billion by November.

What is CriptoLoja?

CriptoLoja launched its online crypto trading service in October 2021, according to the announcement, and the crypto exchange allows users to buy 94 cryptocurrencies and trade them for another 398 other cryptocurrencies. In June 2021, CriptoLoja was licensed by the Portuguese central bank (Banco de Portugal) as a virtual asset service provider, making it the first crypto company to receive a license to operate in the country. CriptoLoja's founders, Luis Gomes and Pedro Borges will remain co-head and support 2TM's expansion in Europe.

Portugal has been praised as a crypto-friendly jurisdiction, as Portuguese authorities have enabled technological free zones for fintech development and innovation in the country. Last year, the Portuguese Central Bank licensed three crypto exchanges: CriptoLoja, Luso Digital Assets, and Mind The Coin.

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