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Argentina officially implements registration of cryptocurrency exchanges, Strike no longer supports cross-border payments in the country.

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Argentina officially implements registration of cryptocurrency exchanges, Strike no longer supports cross-border payments in the country.

According to a report by CoinDesk, the Argentine National Securities Commission (CNV) advanced the implementation of a registration system for Virtual Asset Service Providers (VASPs) on March 25. Argentine President Javier Milei, who had previously praised Bitcoin multiple times before the election and criticized the constant inflation of fiat currencies, has caused dissatisfaction among some Bitcoin enthusiasts with the introduction of this new regulatory policy.

Bitcoin adoption in Argentina is on the rise, and presidential candidate Javier Milei holds a positive stance towards cryptocurrencies.

Argentina Advances Exchange Regulation, VASPs Required to Register

Although the registration of VASPs was a regulatory policy left by the previous government, it has now officially become law in the country under the follow-up of Javier Milei, disappointing those who were hoping Argentina would become the next Bitcoin supporter like El Salvador.

Max Keiser, a staunch Bitcoin advocate and advisor to the Salvadoran government, stated:

Javier Milei has made a serious mistake by not taking the time to understand Bitcoin, and now he will begin to reap what he has sown.

Payment App Strike Halts Cross-Border Transfers

The new regulations appear to have taken immediate effect, as users of the payment app Strike have reported that the platform has notified them of discontinuing the "Global Send" feature between Argentina and the United States.

Strike Bitcoin Trading Service Expands Overseas in the U.S.! Supports Global Remittances and Instant Daily Spending

Why Does Cryptocurrency Compliance Draw Criticism?

Earlier reports indicated that Javier Milei, upon taking office, announced a series of radical economic shock therapies that devalued the Argentine peso by more than half. Argentina also achieved its first monthly budget surplus since 2011, with the monthly inflation rate dropping from 25.5% in December last year to 13.2% in February.

However, the crypto community and Argentine resident BowTiedMara pointed out that crypto exchanges had been fortunate to operate unregulated in Argentina for a long time. If Argentina wants to attract more foreign investment, VASP registration is one of the necessary policies to pursue.

Argentina Implements Economic Shock Therapy, Devalues Peso by Half, and Opens Up Bitcoin Futures Contracts