{"id":26130,"date":"2022-05-06T01:41:38","date_gmt":"2022-05-06T05:41:38","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=26130"},"modified":"2022-05-06T01:41:47","modified_gmt":"2022-05-06T05:41:47","slug":"argentinas-central-bank-sets-to-block-crypto-offerings-from-banks","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/argentinas-central-bank-sets-to-block-crypto-offerings-from-banks\/","title":{"rendered":"Argentina’s Central Bank Sets To Block Crypto Offerings From Banks"},"content":{"rendered":"\n
Four days after two of Argentina's largest banks opened their doors to cryptocurrency trading<\/a>, the central bank intervened to block the offerings.<\/h5>\n\n\n\n
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Argentina<\/figcaption><\/figure>\n\n\n\n

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Argentina's central bank (BCRA) has placed a moratorium on financial institutions offering cryptocurrency trading, just days after two of the country's largest banks signaled an interest in digital assets.<\/p>\n\n\n\n

The BCRA stated\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a> on May 5 that the move was made to mitigate the risks crypto poses to users and “to the financial system as a whole,” citing cryptocurrency's high volatility, use in money laundering, and lack of regulatory oversight.<\/p>\n\n\n\n

The announcement comes on the heels of two of the country's largest banks, Banco Galicia and Brubank, announcing on Monday that they would allow customers to purchase Bitcoin (BTC<\/a>), Ethereum (ETH<\/a>), USD Coin (USDC<\/a>), and Ripple (XRP<\/a>).<\/p>\n\n\n\n

The decision to open crypto trading was made following a poll conducted by Banco Galicia in which 60% of respondents expressed a desire for more convenient access to digital currencies.<\/p>\n\n\n\n

The central bank has long expressed reservations about cryptocurrency, issuing an alert<\/use><\/svg><\/span><\/a> to the public in May last year, warning once again of concerns about volatility and money laundering, despite the bank's assertion that there were no signs of “significant levels of acceptance and use.”<\/p>\n\n\n\n

According to Statista data<\/use><\/svg><\/span><\/a> analysis, 21% of respondents in Argentina owned or used cryptocurrency in 2021, the sixth-highest rate in the world and the highest in the Americas.<\/p>\n\n\n\n

Argentina's inflation increased by another 6.7 percent in March, reaching 55.1 percent year on year, according to INDEC, the country's statistics agency. Argentinians have turned to cryptocurrency in an attempt to hedge against the country's soaring inflation. In April, a rural town began mining cryptocurrency to combat inflation.<\/p>\n\n\n\n

The shift in emphasis from May could be related to the International Monetary Fund's (IMF) $44 billion extended debt plan, which included a clause requiring Argentina to “discourage the use of cryptocurrencies.”<\/p>\n\n\n\n

The central bank's announcement contradicts the Mayor of Argentina's capital Buenos Aires' plans. Mayor Horacio Rodrguez Larreta announced plans to digitize the city in late April, including the option for citizens to pay their taxes in cryptocurrencies.<\/p>\n","protected":false},"excerpt":{"rendered":"

Four days after two of Argentina’s largest banks opened their doors to cryptocurrency trading, the central bank intervened to block the offerings. Argentina’s central bank (BCRA) has placed a moratorium on financial institutions offering cryptocurrency trading, just days after two of the country’s largest banks signaled an interest in digital assets. The BCRA stated on […]<\/p>\n","protected":false},"author":33,"featured_media":26131,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21,26],"tags":[1207,9577,4102,135],"class_list":["post-26130","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","category-cryptocurrencies","tag-argentina","tag-bcra","tag-crypto-regulations","tag-crypto-trading"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2022\/05\/ykkxmLHM-bitcoin-is-going-through-the-roof-in-argentina-while-the-government-imposes-new-taxes.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/26130","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/33"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=26130"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/26130\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/26131"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=26130"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=26130"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=26130"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}