Critics believe that the Argentine government is fighting Bitcoin despite its president’s pledge to uphold liberal values.
The Argentinian government has called on all local crypto companies to register with a new regulatory agency dedicated to the industry or cease operations entirely.
On March 14, the U.S. Senate passed legislation approving the registration of virtual asset service providers based on recommendations from the Financial Action Task Force.
Argentina strengthens regulation?
Argentina’s National Securities Commission (CNV) announced the creation of the registry on March 26, saying the regulations were intended to “identify natural and legal persons providing crypto-asset-related services in the country.”
This includes businesses that allow customers to buy, sell, trade, borrow, send or receive cryptocurrency.
CNV Chairman Roberto E. Silva said on the issue, “Unregistered companies will not be able to operate in the country.”
The goal is to promote compliance with anti-money laundering and counter-terrorist financing regulations, a top priority for cryptocurrency regulators in the United States and elsewhere.
Yet many crypto leaders were surprised by Argentina’s strong shift toward regulation, given its new leader, Javier Milei, a proponent of small-government libertarianism.
“Javier Milei is taking the exact opposite route to what one would expect from a ‘pro-Bitcoin’ libertarian,” Bull Bitcoin CEO Rancis Pouliot tweeted on Sunday. “Frankly, I find this extremely confusing and out of character for me.”
With both sides acknowledging central banks as a common enemy, the cryptocurrency industry quickly viewed Milei as an ally.
While not explicitly advocating any pro-Bitcoin policies, the politician called the emergence of Bitcoin a "return of money into the hands of its original creator: the private sector."
Bitcoin as currency
While strict anti-money laundering rules surrounding cryptocurrencies are not uncommon these days, Money On Chain protocol co-founder Manuel Ferrari says creating a registry for Bitcoin trading platforms is a “terrible idea.”
In an interview with Forbes, he said, "Bitcoin is a currency, not a security. It's just as wrong as a currency exchange for dollars or euros or a store that buys and sells gold has to be registered with the CNV. It's complete nonsense."
Since December, Argentina’s foreign minister confirmed that the country has abolished fiat currency laws, allowing contracts and payments to be settled in any currency of choice, including Bitcoin.
Many U.S. citizens began turning to Bitcoin last month as the digital currency’s value surged to an all-time high of more than $70,000.
Meanwhile, the Argentine peso continues to depreciate rapidly, with inflation reaching 276% as of February. #阿根廷 #Memecoins
