Argentine Government Begins Implementing Requirements For Crypto Exchange

Argentine President Javier Milei (photo: x @BunkerMilei)

JAKARTA - On March 25, in its official announcement, the Argentina Nacional de Valores (CNV) Commission of regulatory bodies equivalent to securities regulators said virtual asset service providers would operate in accordance with recommendations from the Financial Action Task Force (FATF).

Certain companies offering crypto-related services must register with the Argentine government as part of reforms to the country's Money Laundering and Counterterrorism Financing (CFT) Act.

The enactment of laws affecting crypto providers in Argentina moved forward on March 14, when the country's senate approved changes to laws aimed at preventing money laundering and financing terrorism. CNV president Roberto Silva said unregistered virtual asset service providers "would not be able to operate in this country."

Modified proposed against Argentine laws affecting crypto users reportedly arrived before Javier Milei won the country's presidential election in November 2023.

Many crypto supporters praised Milei's victory at the time for his seemingly pro-Bitcoin stance, but the implementation of the FATF requirements seems to have left many worried about the future of digital assets in Argentina.

Many users at Strike, popular in Argentina for facilitating Bitcoin payments via the Lightning network, reported that the app no longer allows local residents to send fiat to bank accounts.

It is not clear how these requirements can affect businesses operating in Argentina or customers who want to use their services. In December 2023, Argentina's Foreign Minister said contracts could be completed in Bitcoin and other cryptocurrencies.

Milei spoke publicly on April 2 as part of the Malvinas Day ceremony admitting the loss of life during the Falkland War in 1982.