Blockchain based payroll cards are gaining momentum; Bitwage partners with Bitso for Bitcoin based payroll services

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Blockchain fintech company Bitwage which functions primarily in European and US markets, has partnered with Bitso, which is a bitcoin based payroll service and exchange platform. This partnership is for expansion of Bitso’s wage solution in Mexico. It will enable Bitso to exchange bitcoin with Mexican peso. This service is targeted at freelance workers who can now opt for international work opportunities and receive payments with cheaper transfer fees and better exchange rates. Earlier this year, Bitwage rolled out its payroll services Bitwage Payroll in Europe that allows employers to choose the type of currency in which the workers can be paid. While Bitwage is expected to benefit due to market expansion from this partnership, Bitso will have solution enhancement that is likely to attract more consumers.

Payroll cards are gaining popularity in Mexico. With nearly 100 million working adult population, the growth opportunity is significant. According to PayNXT360’s latest report, the country's payroll prepaid card market in terms of transaction value is expected to record a CAGR of 28.8% during 2016-2020 to reach US$ 2,686.5 million by 2020. Over the last five years the sector has recorded a CAGR of 43.3%. SMB is going to be a key segment for payroll solution providers to drive growth.  Companies such as Bancomer, Banamex, Satander and Banorte are some of the leading players offering payroll solutions.

To know more and gain deeper understanding of prepaid card industry in Mexico, click here.