The Central Bank of the Argentine Republic does not allow banks to offer cryptocurrency deals

Banks in Argentina will not be able to offer their customers the opportunity to invest in cryptocurrencies. This was announced by the Central Bank of the Argentine Republic (BCRA).through an official statement titled: “The BCRA discourages the offering of crypto assets by the financial system.”

The statement states, among other things:

“Financial institutions shall not conduct, or allow their clients to conduct, operations in digital assets, including crypto assets and those whose returns are determined on the basis of changes they register that are not regulated by national authorities and approved by the central bank Operations Facilitate the Argentine Republic (BCRA).

The measure, mandated by the Board of BCRA, aims to mitigate the risks associated with the operation of these assets that could pose to users of financial services and to the financial system as a whole.

The Central Bank of the Argentine Republic does not allow banks to offer cryptocurrency deals
The Central Bank of the Argentine Republic does not allow banks to offer cryptocurrency deals

The BCRA recalled that the activities of financial institutions must aim to finance investment, production, marketing and consumption of goods and services necessary for both domestic demand and export.

The various actors involved in operations involving these assets may not be allowed to be established in the country, which could lead to deviations from general regulations, according to the BCRA.

News of this central bank action came shortly after it was revealed that Banco Galicia and Brubank had announced cryptocurrency-related services.

A warning from 2021

The statement also recalled that the Central Bank of the Argentine Republic and the National Securities Commission (CNV) issued an alert in May 2021 to provide information on the potential impact and risks that crypto assets may pose.

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Investing in crypto assets is not regulated. They may not be suitable for retail investors and you may lose the entire amount invested. The services or products offered are not intended for and are not accessible to investors in Spain.

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