Contxto – If migration were always this easy. Bitso—a Mexican cryptocurrency exchange platform—is going to the Southern Cone and setting up shop (metaphorically and literally) in Argentina.
The startup announced the move via press release to the Spanish-language version of Cointelegraph. There, the head honchos at the exchange waxed lyrical about how this was the prime moment to get their services to this South American powerhouse.
The peculiar mix of bad economic news and stable financial institutions has created a perfect storm for crypto in Argentina, and Bitso is keen to jump on the bandwagon.
Co-founder and CDO, Pablo González, said in the press release:
“Our reason for arriving here is twofold: Firstly, Argentina is one of the most important crypto-communities in the world. Secondly, we are looking to help the local industry’s process towards maturity.”
Argentina stands for free-flowing currency
Indeed, Argentina is a funny place regarding crypto. Looking beyond all the painful economic strife, including hyperinflation and debt readjustments, and it turns out the country is on pretty stable footing when it comes to the stability of its financial infrastructure.
This is something González himself noted, saying “Argentina currently has advanced technological capacity, such as CVU, that even the European and US markets would like to have. This is what allows us to have a developed fintech ecosystem.”
However, the government has often seemed to be interested in undermining these strengths. Just take the recent “dollar tax” passed by the national legislature. In it, financial transactions are shackled to traditional banking institutions and local markets—by slapping a 30 percent tax on foreign transactions.
Related article: In Argentina, startups scramble to adjust to new dollar tax
Nevertheless, a country named after the free flow of silver (Río de la Plata) has shown its mettle and has adapted to maintain its financial flexibility—thanks, in large part, to cryptocurrencies.
The Bitso press release indeed pointed this out as a difference in Argentinian crypto behavior versus other Latin American markets:
“What makes Argentineans stand out is their particular use of digital currency. While in other countries we have detected their use in terms of investment and speculation, in Argentina, we think that that use of crypto is counterbalanced with its use as a value reserve and as a tool in international trade.”
The proverbial HQ
No matter how high the taxation rises in Argentina, globalized exchange is a fact of life. Therefore, Bitso’s move has shown the crypto-exchange to be able to immediately offer all eight of the cryptos it holds in store at home in Mexico. That is Bitcoin, Litecoin, Ethereum, TrueUSD, XRP, Golem, Decentraland, Bitcoin Cash, and BAT.
Also, the Bitso team is truly betting hard on Argentina. Their 102 strong team includes a stronghold in Buenos Aires which is looking to expand its talent pool. So, porteños, this is your moment to get involved in the transnational crypto-exchange scene!
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