Nubank and Mercado Pago have temporarily suspended cryptocurrency deposits and withdrawals in Latin America, citing instability involving an external data provider used in compliance-related processes.
Both companies said the disruption does not affect crypto buying and selling inside their apps. They also stated that their own internal systems were not compromised, even as social media speculation linked the interruption to custody partner Paxos without official confirmation.
Transfers halted, trading remains available
The service interruption affects the movement of digital assets into and out of the two platforms rather than all crypto activity. Mercado Pago told users in its app that cryptocurrency transfers were unavailable because of system instability and warned that deposits could be credited with delays.
According to the company, the issue is tied to a provider involved in risk monitoring and anti-money-laundering checks. Mercado Pago said withdrawals were paused as a precaution, while purchases and sales of crypto assets continued to operate normally.
Nubank reported a similar suspension and pointed to the same type of instability at an external provider. The neobank said its other crypto products remained available during the disruption.
Companies stress no internal compromise
In their public explanations, both fintech groups framed the measure as a response to a third-party problem rather than a breach of their own infrastructure. Nubank specifically told customers that its internal systems had not been compromised.
That distinction became more important as online rumors spread about a possible hack involving Paxos, the custody provider used by both companies. However, no official report had confirmed an attack at the time of publication, leaving the cause of the interruption limited to what the companies disclosed: instability at an outside data provider.
Major regional fintechs affected
The disruption drew attention because of the size of the companies involved. Mercado Pago is the fintech arm of Mercado Libre, while Nubank is described as the largest neobank in Latin America.
A simultaneous pause by two large consumer platforms raised immediate concern among users trying to move crypto holdings, even though the companies maintained that core trading functions were still active. The messaging from both firms pointed to a shared dependency in the compliance and monitoring stack used for crypto operations.
What is confirmed so far
At this stage, the confirmed facts are limited. Deposits and withdrawals were suspended at Nubank and Mercado Pago, buy and sell functions were said to be unaffected, and both companies attributed the disruption to instability connected to an external provider used for monitoring and anti-money-laundering purposes.
The episode comes shortly after another security incident in the regional crypto sector: a reported $46 million theft at Mercado Bitcoin earlier in the week. No link between that case and the current service suspensions has been established in the available information.
The next confirmed step will be the restoration of transfer services or a more detailed statement from the companies or their providers explaining the source of the instability. Until then, reports of any hack remain unverified.
Source: news.bitcoin.com