[NEWS] Argentine government introduces registration system for cryptocurrency-related companies

The Argentine government has decided to introduce a registration system for cryptocurrency-related companies based on the Law on the Prevention of Money Laundering and the Prevention of Terrorist Financing (AML/CFT).

The Argentine Securities and Exchange Commission (CNV), the securities regulator of Argentina, announced that "cryptocurrency service providers must operate under the supervision of the Financial Action Task Force (FATF)." This may have some impact on companies and users currently providing cryptocurrency-related services in Argentina.

The move by the Argentine government follows a global movement to tighten cryptocurrency-related regulations. Currently, regulators in various countries are seeking to establish legal and regulatory frameworks to monitor and control cryptocurrency-related transactions in order to prevent money laundering, terrorist financing, and other illegal activities.

The purpose of Argentina's regulations is to identify legal entities and individuals that provide cryptocurrency-related services in the country, and is in line with the Law on the Prevention of Money Laundering, Terrorist Financing, and Proliferation of Weapons of Mass Destruction passed last month.

CNV President Roberto Silva emphasized, "We have been working day and night to comply with the law amending the national regulatory regime for the prevention of money laundering and terrorist financing. The FATF may take into account the recommendations on this issue in the country, and we have begun the registration process for cryptocurrency service providers. Those who are not registered cannot operate in the country."

Registration includes all those who use web pages, social networks, and other media to send offers or advertisements to residents living in Argentina, who operate a certain scale of business in the country, or who receive information using any type of technology.

The Milei administration moves quickly to establish cryptocurrency-related regulations

Since President Javier Milei took office last year, Argentina has been accelerating the establishment of cryptocurrency-related regulations.

In December last year, it was permitted to use cryptocurrencies such as Bitcoin in contracts and payments. In addition, a temporary cryptocurrency tax system was expected to be established, but as of February this year, it has been back to square one. However, it is expected that there will be further developments regarding the cryptocurrency tax system, and there is a possibility that a tax rate that varies gradually depending on the filing period will be considered.

Reference: Announcement
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