Argentina and El Salvador discuss Bitcoin adoption

Argentina's National Securities Commission (CNV) has confirmed that the country is considering collaborating with El Salvador on Bitcoin adoption. This follows an important meeting between Argentine and Salvadoran regulators last week.

Argentina's CNV officials met with Juan Carlos Reyes, head of El Salvador's National Digital Assets Commission (CNAD), to discuss El Salvador's Bitcoin regulation strategies.

Learning from the experience of El Salvador

Senior CNV officials visited El Salvador, including President Roberto Silva and Vice President Patricia Boedo. The President expressed Argentina's active position in learning and praised El Salvador's progress in creating cooperation agreements.

“El Salvador has emerged as a leading country in Bitcoin and the widespread use of crypto assets. We want to strengthen relations with El Salvador. We will explore signing cooperation agreements with their government,” said Silva.

CNV's efforts may come as a relief to Argentina's bitcoin community. Despite President Javier Malé's pro-Bitcoin stance, Buenos Aires faces pressure from the IMF to regulate the crypto exchange.

The country has faced serious economic problems, including high inflation and a devaluation of the currency, which has fueled the Bitcoin trade. Crypto adoption has increased since 2017, with many using it for daily transactions. The country has also been featured in crypto startups offering innovative solutions to economic challenges.

Read more: Crypto adoption in Argentina: everything to know

Strict currency controls led to increased use of stablecoins. These digital assets provide a hedge against currency restrictions. According to a Biso report, 60% of crypto trading volume in Argentina is from stablecoins such as USDT or USDC.

El Salvador, under President Naib Bukele, has become the first country in the world to accept Bitcoin as legal tender. Buchel's initiative boosted the country's economy to a great extent. BTC adoption has attracted international tourists to popular destinations in El Salvador. In addition, the country buys the property daily and mines it using the volcanic energy.

The potential collaboration between Argentina and El Salvador could signal a change in Argentina's approach to crypto. With significant crypto adoption among the public, this move could pave the way for a more regulated and secure environment.