Argentina Rolls Out New Crypto Policies

The National Securities Commission, the financial regulatory entity in Argentina, has announced the implementation of new measures for the crypto industry.

The regulatory body announced that cryptocurrency exchanges must begin operating in the country following the directives for Anti-Money Laundering (AML) and Counter-Terrorism Financing (CFT) recommended by the International Financial Action Task Force (FATF).

The CNV announced that Virtual Asset Service Providers must operate in accordance with the FATF recommendations. Companies offering cryptocurrency-related services must register as part of the reforms to the country's AML and CFT laws.

Javier Castro Acuña, Head of Crypto y Web3 de Bitnovo stated:

"Providing a regulatory framework that conveys security and confidence to both users and companies, especially enabling the latest to compete on equal footing, is always good news for the ecosystem. Some people and institutions were on the sidelines due to the lack of regulation, and this could be the boost they needed to jump into this industry."

Following the regulatory change in the country, crypto exchanges operating in Argentina must register their operations with the regulatory entity.

The new proposal to Argentine laws affecting crypto users was presented before Javier Milei won the country's presidential elections in November 2023.

Although Milei was acclaimed by many cryptocurrency proponents for his apparent pro-Bitcoin views, the implementation of FATF requirements has raised concerns about the future of digital assets in Argentina.

In December 2023, the Argentine Minister of Foreign Affairs said that contracts could be settled in Bitcoin and other cryptocurrencies. Milei spoke publicly on April 2nd as part of a Malvinas Day ceremony, acknowledging the loss of lives during the Falklands War in 1982.

This regulatory development is an important step for the cryptocurrency industry in Argentina, as it seeks to provide a clear and secure legal framework for operations with crypto assets, while aligning with international standards to combat money laundering and terrorism financing.

The Argentine crypto community must now navigate this new regulatory landscape, which could have significant implications for the future of cryptocurrencies in the country.