The National Securities Commission (CNV), which is Argentina’s securities oversight body, recently launched an innovation center to promote conversations about cryptocurrency and fintech investments. This organization will serve as a liaison between private entities and the institution to market new fintech and crypto instruments.
The Argentine Securities Regulator gives fintech and cryptocurrencies special importance
The National Securities Commission (CNV), Argentina’s securities regulator, is reportedly taking steps to streamline the entry of new fintech and cryptocurrency-based investment instruments into the market. The institution recently launched an innovation center that will connect private investors with regulators to share information about the requirements these products must meet in order to be released to the market.
Andres Consentino, president of CNV, was optimistic about the future of this initiative. He stated:
We are taking the initiative in the context of the emergence of crypto-assets and fintech to work together with the sector and create a regulatory and policy framework in this regard.”
One of the main issues behind this new center, and one of the motivations behind its launch, is the number of cryptocurrency scams that have occurred in the country since the peak of cryptocurrency adoption. On this issue, Consentino said:
This initiative is also aimed at improving the investor protection system from the very unfortunate phenomena that usually happens.
Cryptoinvestment products are coming soon
This innovation center could be the beginning of a new era of regulated cryptocurrency investment products in Argentina. So believes Andrés Ponte, president of investment brokerage Matba Rofex, who said that these products will be launched in the near future.
According to local sources, there are two goals behind the regulation of cryptocurrency investments in the country. The first is to protect investors seeking to place funds in cryptocurrency markets by launching regulated products. The other is to benefit the national tax agency from these products, which, because of their nature, cannot be hidden from AFIP, the national tax agency.
With the advent of regulated instruments, the ability to collect taxes on these cryptocurrencies will be virtually guaranteed, which is different from what happens now when most cryptocurrency movements and investments are made on exchanges and platforms outside the country.
In this vein, a bill was introduced in the Senate on April 1 that would tax all Argentine property in foreign countries, including cryptocurrency, to pay a portion of the country’s debt to the International Monetary Fund.
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