ARGENTINA Trends and Developments Contributed by: Maria Victoria Funes, Luciano Zanutto, Camila G. Lima and Tomas Celerier, Bomchil
However, the BCRA has been tightening regu - lations to discourage crypto transactions, such as restricting the acquisition of crypto-assets in foreign currency via cards issued in Argentina, and classifying them as “ “liquid external assets” with a USD100,000 limit for accessing the for - eign exchange market in 2020. In 2022, it prohib - ited financial institutions from facilitating crypto transactions, a restriction that was extended to PSPs in 2023. With the recent election of Javier Milei as presi - dent, there has been a noticeable shift in the political stance towards crypto-assets, with early signs of deregulation and a relaxation of previous restrictions. In 2024, the government has started to implement measures aimed at fostering innovation in the crypto-asset sector, signalling a more favourable regulatory environ - ment for digital assets. This evolving regulatory environment continues to shape the fintech sec - tor, creating both challenges and opportunities for industry players navigating Argentina’s fin - tech ecosystem. VASP Registry In March 2024, the CNV, laid down the prerequi - sites and conditions for the registration of VASP. The CNV provides that individuals and legal enti - ties residing or incorporated in Argentina, before being able to carry out activities or transactions related to virtual asset services, must register in the VASP Registry. Such obligation extends to individuals and legal entities residing or incorporated abroad provid - ed they engage in one of the following activities: • exchange between virtual assets and legal tender; • exchange between one or more types of virtual assets;
• transfer of virtual assets; • custody and/or administration of virtual assets or instruments enabling control over them; and • participation in and provision of financial ser - vices related to the offering or sale of virtual assets. In October 2024, the CNV called on the general market to submit opinions and proposals on a draft regulation applicable to VASPs. Upon the completion of the procedure for the participa - tive elaboration of rules, on 12 March 2025, the CNV issued a general resolution regulating the operation of PSAVs, replacing the previous pro - visions. The resolution contains new elements and details not included in the former Registry of VASPs, such as VASP categories, segrega - tion and custody of virtual assets, minimum net worth requirements based on activity, cyberse - curity requirements, among others. The resolution indicates that VASPs established abroad must register in Argentina in accordance with Section 118 of the Argentine Companies Act, under one of the recognised forms (eg, branch, office, or another form of permanent establishment). Notably, the resolution specifies entities prohibited from operating as VASPs, including those already regulated under the Capital Markets Law and individuals subject to restrictions on VASP activities. VASPs are classified into five categories, with specific net worth requirements depending on their activities. Categories range from exchang - es between virtual assets and legal tender to the provision of financial services related to virtual assets. VASPs must also maintain strict sepa - ration between their client and business funds. Additionally, each VASP must appoint a public relations officer to handle client inquiries and
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