Binance, the world's largest cryptocurrency exchange, has officially launched Medá, a locally registered Electronic Payment Funds Institution (IFPE) in Mexico. The new subsidiary represents a strategic $53 million (one billion pesos) investment over four years, aimed at establishing peso-denominated deposit and withdrawal infrastructure and pursuing fintech partnerships in the region.
Medá will operate independently from Binance's global exchange and is licensed under Mexico's 2018 "Ley Fintech" framework, which requires strict anti-money laundering (AML) and consumer protection safeguards overseen by the Comisión Nacional Bancaria y de Valores (CNBV). This move follows Binance's 2022 operational wind-down in Mexico after regulatory warnings against unlicensed crypto services.
Mexico is a priority market for Binance's Latin American expansion, alongside Brazil and Argentina, due to its population of over 125 million and significant unbanked population (nearly 50% of adults). The country also recorded $63.3 billion in remittances in 2023, representing 4% of GDP, highlighting cross-border payment opportunities.
Guilherme Nazar, Binance's Vice President for Latin America, stated: "Recognizing that increased competition benefits consumers, Medá will provide access to higher-quality financial technology at more affordable costs." The exchange now holds regulatory approvals in 23 jurisdictions worldwide, including France, Italy, Spain, Dubai, Japan, Brazil, and Argentina.