Argentina’s government has initiated the enforcement of regulations for cryptocurrency exchanges to legally operate within the country.
The Comisión Nacional de Valores (CNV), Argentina’s equivalent of a securities regulator, announced on March 25 that virtual asset service providers must comply with recommendations from the Financial Action Task Force (FATF). As part of the country’s Anti-Money Laundering (AML) and Combatting the Financing of Terrorism (CFT) laws, certain companies offering crypto-related services are required to register with the Argentine government.
The implementation of the law impacting crypto providers in Argentina progressed on March 14 when the country’s senate approved the modification of laws aimed at preventing money laundering and the financing of terrorism. Roberto Silva, the president of CNV, stated that virtual asset service providers who are not registered “will not be able to operate in the country.”
The proposed changes to Argentina’s laws pertaining to crypto users allegedly occurred before Javier Milei won the presidential election in November 2023. Milei’s apparent pro-Bitcoin views were praised by many crypto supporters at the time. However, the enforcement of the FATF requirements has raised concerns about the future of digital assets in Argentina.
According to reports, many users of Strike, a popular platform in Argentina for facilitating Bitcoin payments via the Lightning network, have stated that the app no longer permits locals to send fiat to bank accounts. The impact of the requirements on businesses operating in Argentina and customers who wish to use their services remains uncertain. In December 2023, Argentina’s minister of foreign affairs mentioned that contracts could be settled in Bitcoin and other cryptocurrencies.
Milei made a public appearance on April 2 during a Malvinas Day ceremony commemorating the lives lost during the Falklands War in 1982.
Source:
Nina Lira
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