Nubank, the Brazilian neobank backed by Warren Buffett, has announced the launch of its own cryptocurrency, nucoin. The token, which is issued on top of the Polygon network, will be airdropped to end users of the institution, with 80% of the total issuance being directed to the customers.
Nucoin will be used for a variety of activities, including cashback programs, internal raffles, and staking programs. Customers will be able to lock their nucoins to receive more nucoins over a period of time, or to receive more tickets for internal raffles. There will also be an option to exchange nucoins for cash via the platform.
The launch of nucoin is similar to the one executed by retail and financial services company Mercado Libre in August last year, when the organization also issued its own cryptocurrency, called mercadocoin, to be part of its loyalty programs. However, Mercado Libre did establish an initial price for its token, valued at $0.10 at the time of its launch.
Nubank’s decision to launch its own cryptocurrency is part of its commitment to the “transformative potential of blockchain technology” and its democratization. The company believes that the launch of nucoin will help to further its mission of providing financial services to the unbanked and underserved.
The launch of nucoin is a major step forward for Nubank and the cryptocurrency industry as a whole. It is a sign that the industry is maturing and that more companies are recognizing the potential of blockchain technology. It will be interesting to see how nucoin is adopted by Nubank’s customers and how it will be used in the future.