In a global context marked by technological revolution, cryptocurrencies emerge as an alternative to the traditional financial system.

Argentina, in particular, faces unique challenges, such as a crisis economy and changing restrictions, which has driven the demand for these digital assets.

However, the creation of a cryptocurrency Exchange in the country faces significant legal and tax challenges.

Let's explore the Argentine legal framework for these businesses, their impact, and the relevance of cryptocurrencies as investment and savings tools.

What is an Exchange and why is it relevant?

An Exchange is a digital platform that facilitates the buying, selling, and trading of cryptocurrencies and digital assets such as stablecoins, bonds, and stocks.

These platforms act as intermediaries, offering competitive prices based on supply and demand.

In Argentina, where economic restrictions limit access to the dollar and inflation rates erode the value of the peso, Exchanges like Binance have become a key channel for investors looking to protect their capital.

Unlike brokerage firms regulated by the National Securities Commission (CNV), cryptocurrency Exchanges operate under an ambiguous regulatory framework. Currently, there is no specific legislation for cryptoassets in Argentina. However, several indirect regulations affect their operation:

  • Registration with AFIP: The Exchanges must be registered as corporations (SA) or limited liability companies (SRL) and pay taxes such as profits, VAT, gross income, and personal assets.

  • Financial Information Unit (UIF): Through Resolution 300/14, it is required that operations with cryptocurrencies be reported to prevent money laundering and terrorist financing. This includes monthly reports of conducted transactions.

  • AFIP Informative Regime: Exchanges must declare the balances and transactions of their users in fiat currency and cryptocurrencies, ensuring transparency, although it limits privacy.

Impact and Challenges

The legal framework presents both advantages and challenges:

  • Advantages: Provides a basic level of regulation that fosters trust among users and institutional investors. Additionally, the tax registration of activities ensures a degree of formality in the sector.

  • Challenges: The lack of specific legislation creates uncertainty for operators, making it difficult to attract foreign investments. Moreover, current regulations impose significant administrative and tax burdens.

Financial Education: A Critical Gap

According to surveys conducted in Argentina, a large part of the population is still unaware of what an Exchange is or how cryptocurrencies work.

This highlights the need to improve financial education, especially in a context where distrust in the traditional financial system is high.

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