PANews December 8 news, according to FinanceFeeds, the Central Bank of Argentina (BCRA) is considering lifting the long-standing ban on traditional financial institutions providing cryptocurrency trading and custody services. This policy shift will move from a clear prohibition towards a managed integration, mainly driven by Argentina's unique economic environment and the surge in demand for digital assets. The current regulations prohibit banks from participating in crypto trading, aimed at reducing risks and curbing the use of unregulated entities. However, the government of President Javier Milei, which supports market-oriented and crypto-friendly policies, is evaluating a new regulatory framework to allow banks to enter the market under strict rules.
This move aims to bring the massive cryptocurrency trading activities into the formal banking system, thereby providing safer compliance channels, enhancing investor protection, and strengthening KYC and anti-money laundering (AML) controls. Furthermore, it will enable the government to track and tax more effectively while acknowledging the important role of cryptocurrencies as a hedge against inflation.