The Argentine government published a document through its official website that acts as a kind of “ABC” for the commercialization and use of cryptocurrencies according to local law. Under the name: “What are cryptocurrencies?” The document describes the differences between virtual currencies and other means of payment such as cash. B. digital purses described. It also explains the procedures for validating these operations.
According to the information gathered, the guide would seek to review the basic and basic concepts on the subject while highlighting the differences in relation to other digital payment systems like PayPal in order to provide security recommendations.
Perhaps the most notable part of the publication is that related to the regulation of crypto assets. The first paragraph clarifies the following:
“Cryptocurrencies can be used like any other payment method, but their use is not regulated by governments or financial institutions.”
In the same document, the government lists the main crypto assets, where they can be bought and what the requirements are: Bitcoin, Ethereum, EOS, Litecoin, Monero, Stellar Lumen, XRP, NEO and IOTA.
“Cryptocurrencies are validated by people called miners who are the writers of the cryptocurrency,” they explain. “When a transaction is recorded, the code of the previous transaction is also recorded. In this way, each new transaction is linked to the next to ensure their security. “
Proposed security measures
Regarding the security measures for buying, holding and trading cryptocurrencies, the government recommends downloading official applications from the crypto community, using external or cold wallets, keeping the keys in a safe place, buying in official and authorized places, and working at locations that are registered have legal support and are authorized to conduct banking transactions.
The document is published in the context of the local and global economic crisis. It can be interpreted as official recognition and represents a turning point in the introduction of crypto in the country. Where savers bound by the restrictions on buying foreign currencies (forex) already have the official guarantee to invest in cryptocurrencies.
Remember that Bitcoin is free from intermediaries who can wield control. It is completely voluntary and no central authority needs permission to use the network.
However, In May of this year, the Federal Administration for Public Income (AFIP) tabled a new tax reform setting a tax margin of 15% for operations with cryptocurrencies. Pay special attention to whether the transactions are local or foreign.
The Financial Information Unit is the government agency of Argentina. It is a regulatory authority responsible for analyzing, treating and transmitting information in order to prevent money laundering through criminal activities.
The publication of this guide by the Argentine government sparked some questions and controversy among some people who were through Twitterthey expressed their regret.