Argentina proposes new crypto rules with cautious industry reaction

Argentina’s cryptocurrency industry expressed mixed views on a new regulatory draft targeting virtual asset service providers (VASPs). 

The Argentine securities regulator (CNV) submitted General Resolution 1,025 for public consultation, aiming to enhance user protection, prevent financial crimes, and establish operational standards for crypto institutions. 

The proposed regulation requires each VASP to register with a minimum capital of around $173,000 to offer services such as asset transfer, custody, and management. 

It also mandates disclosure of third-party agreements and cybersecurity policies. 

Roberto Silva, CNV President, stated that the draft seeks to “regulate according to the principles of the law, without hindering innovation in the sector.” 

While some stakeholders support regulation, they emphasised the importance of striking a balance between compliance and industry growth. 

Carlos Peralta, Bitso Argentina’s Public Affairs Lead, expressed optimism about the public consultation approach, stating, “This will contribute to financial inclusion and the development of an efficient financial infrastructure.” 

Juan Pablo Fridenberg, director at Lemon, also highlighted the need for “intelligent and gradual” regulation to encourage crypto exchanges to remain in Argentina. 

He warned that overly restrictive or costly regulations could drive users to unregulated or cross-border alternatives, undermining the intent of the framework. 

The draft’s publication for public input aligns with Argentina’s earlier launch of the VASP registry, signaling ongoing efforts to formalise the crypto sector. 

Industry players are hopeful that collaborative discussions will lead to regulations that support both security and growth in Argentina’s evolving crypto landscape.