Nubank Launches 4% Annual Rewards for USDC Holders in Latin America

Nubank, the largest digital bank in Latin America, has introduced an enticing new feature for its users in the crypto space. The Brazilian neobank announced on January 14, 2025, that it is now offering a fixed 4% annual return for customers who hold USDC, the stablecoin issued by Circle, in their crypto wallets. This new rewards program, which was initially tested with a small group of users last year, is now available to all Nubank customers who use its crypto wallet feature.

To be eligible for the 4% annual return, users must maintain a minimum balance of 10 USDC in their crypto wallets. The return on investment is credited daily, offering users a steady and predictable income stream. Furthermore, users have the flexibility to access their funds instantly, without waiting for a long processing period. The program also allows customers to activate or deactivate the feature at any time through the Nubank app, offering them full control over their participation.

The decision to offer rewards on USDC comes as no surprise, given the stablecoin’s increasing popularity among crypto holders. Nubank noted that USDC now represents 30% of the portfolios held by crypto users. Moreover, more than 50% of new Nubank Crypto users have selected USDC as their first digital asset, indicating a strong preference for the stablecoin within the bank’s user base. By offering rewards on USDC, Nubank is tapping into this growing demand and positioning itself as a more attractive option for customers interested in earning passive income through crypto.

In addition to the 4% return on USDC holdings, Nubank has also been actively expanding its range of crypto-related services. In November 2024, the bank launched a crypto swap tool, which allows users to exchange popular cryptocurrencies such as Bitcoin, Ethereum, Solana, and Uniswap for USDC. This feature allows users to quickly and easily trade between different digital assets, further enhancing the bank’s value proposition for crypto enthusiasts.

While Nubank has made significant strides in the crypto space, not all of its ventures have been without challenges. One of its more notable setbacks occurred in September 2024, when the bank abruptly halted trading of its own native token, Nucoin. Nubank stated that the decision was made in order to protect users from the volatility of the crypto market. Launched in late 2022, Nucoin was part of a rewards program that offered customers various perks, including discounts and exclusive offers. The suspension of Nucoin trading drew some attention but reflects the bank’s cautious approach to managing crypto assets amid ongoing market fluctuations.

Despite the challenges, Nubank’s crypto offerings have been gaining traction. As of early 2025, the bank serves over 85 million customers in Brazil and around 6 million in Mexico and Colombia. With the introduction of new features like the 4% return on USDC and the crypto swap tool, Nubank is continuing to build its presence in the growing Latin American crypto market.

This move is part of Nubank’s broader strategy to position itself as a leader in the digital banking and fintech space, offering innovative services that appeal to both traditional banking customers and the growing number of crypto investors in the region. By expanding its crypto offerings, Nubank aims to capture a larger share of the market, as more individuals in Latin America turn to digital currencies as a means of investment and financial management.

Overall, Nubank’s new 4% USDC rewards program, along with its broader crypto initiatives, is a strong indicator of the bank’s commitment to embracing the future of finance. The bank’s growing crypto services, coupled with its large and diverse user base, suggest that Nubank will continue to play a key role in shaping the fintech landscape in Latin America. However, as with any crypto-related service, it will need to navigate regulatory considerations and market volatility to ensure long-term success in the sector.