Fun

Central Bank of Argentina President Hints at Possible Regulation of Bitcoin in Payment Systems

News Feed - 2021-08-13 05:08:02

Central Bank of Argentina President Hints at Possible Regulation of Bitcoin in Payment Systems


Miguel Pesce, president of the Central Bank of Argentina, hinted at some kind of regulation coming for bitcoin transactions soon. Yesterday, In a digital financial conference, Pesce also stressed that the bank was working to find effective ways of warning novice investors about the dangers of putting their savings behind cryptocurrencies like bitcoin. Central Bank of Argentina Hints at Regulating Bitcoin Transactions


Miguel Pesce, the current president of the Central Bank of Argentina, hinted at a possible regulation for bitcoin and bitcoin transactions in a digital financial conference organized by the Argentine Institute of Finance Executives (IAEF). Yesterday, Pesce stated on the issue it was very important to them to avoid linking bitcoin with the traditional exchange market. Pesce stated: We are going to regulate the intersection of Bitcoin with the payment system and the exchange market.


To Pesce, Bitcoin is not a financial asset because it fails to be backed by any asset and cannot guarantee a stable yield. However, he ascertains that its scarcity allows the price to continue rising, giving the impression it is indeed a financial asset. About this, he stated: The Central Bank is not affected by the fact that these types of instruments can be used for transactions. Not Good for the Exchange Market


However, the banker did imply that these instruments could be used to take advantage of unsophisticated investors in the form of scams. Because of this, Pesce considers there could be a very unfair effect if this money coming from cryptocurrencies mixes with the traditional exchange market. He stated that the Central bank of Argentina will try to avoid this. Pesce also stressed that such intermingling could be “very damaging for the instrument and also for the Central Bank regulations.”


However, the Central Bank of Argentina is focused on achieving a wide digitalization of its payment systems, and they are betting on the intersection of traditional banking and fintech companies to get to that goal. To this end, it is promoting a new wire system called “Transferencias 3.0,” that will encourage the use of digital money in the country.


Argentina is still a country big on cash. Over 90% of the transactions in the nation involve cash, so the bank has the challenge of modernizing this system to make payments easier. However, Pesce stated they were not planning to issue a digital currency for this task.


What do you think about the statements of the president of the Central Bank of Argentina? Tell us in the comments section below. Switzerland’s Leonteq Offers Crypto Assets to Investors in Germany and Austria NEWS | 1 hour ago Augmented Reality-Based Dogemon Go Mobile Game Allows Players to Earn Dogecoin NEWS | 7 hours ago Tags in this story bancarization, Bitcoin, Central Bank of Argentina, Cryptocurrency, miguel pesce


Image Credits: Shutterstock, Pixabay, Wiki Commons Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments

News Feed

Korean VC Firm Daesung Private Equity Announces $83 Million Metaverse Fund
Korean VC Firm Daesung Private Equity Announces $83 Million Metaverse Fund Daesung Private Equity, a Korean venture capital firm, has announced the launch of a metaverse fund of 11
Report: Declining BTC Stablecoin Supply Ratio Suggests Exchanges Are ‘Highly Liquid & Ready to Buy’ Crypto Assets
Report: Declining BTC Stablecoin Supply Ratio Suggests Exchanges Are "Highly Liquid & Ready to Buy" Crypto Assets According to a report by Glassnode, bitcoin&rsq
‘You Are Not Anonymous on Tor’ – Study Shows Privacy Network Offers Superficial Anonymity
"You Are Not Anonymous on Tor" - Study Shows Privacy Network Offers Superficial AnonymityPrivacy advocates are growing leery of the Tor network these days, as recently published res
Masked Men Rob Large Crypto Mining Farm Near Moscow
Masked Men Rob Large Crypto Mining Farm Near Moscow Armed robbers have plundered a large crypto mining facility not far from the Russian capital, local media reported. The unidenti
How low can Bitcoin price go? Analysis disputes ‘black swan event’
William Suberg13 hours agoHow low can Bitcoin price go? Analysis disputes ‘black swan event’From a fresh BTC price dip as soon as April 16 to a retreat to $40,000 long-term, Bitcoin market observers weigh in on where
Southeast Asia’s Largest Bank DBS to Launch Crypto Trading for Retail Investors
Southeast Asia"s Largest Bank DBS to Launch Crypto Trading for Retail Investors DBS, the largest bank in Southeast Asia, is planning to launch crypto trading for retail investors t
Coinbase-posing scammers steal $1.7M from a user amid a string of attacks
Jesse Coghlan2 hours agoCoinbase-posing scammers steal $1.7M from a user amid a string of attacksA victim who claims to have lost $1.7 million said a scammer called them claiming to be from Coinbase and sent emails that
Japan Asks Crypto Exchanges to Comply With Sanctions Restrictions — Penalty Includes 3 Years in Prison
Japan Asks Crypto Exchanges to Comply With Sanctions Restrictions — Penalty Includes 3 Years in Prison Japan’s top financial regulator has asked cryptocurrency exchanges i
The Stimulus Cover Up: Small Businesses Cheated, Corrupt Covid-19 Stats, Crony Benefits
The Stimulus Cover Up: Small Businesses Cheated, Corrupt Covid-19 Stats, Crony BenefitsLast week thousands of Americans have been reporting that they received their stimulus check,
Paraguayan Senate Rejects Presidential Veto to Cryptocurrency Bill
Paraguayan Senate Rejects Presidential Veto to Cryptocurrency Bill The Paraguayan Senate has decided to reject the total veto that President Mario Abdo exerted over a proposed cryp
Derek Andersen4 hours agoFTX sues over investments, donations made by charity arm to life sciences companiesThe money was intended to add to Bankman-Fried’s political influence and goodwill and did not benefit FTX or A
Sichuan Should Work to Remain Attractive to Crypto Mining: Policy Advisor
China’s Sichuan province – a major bitcoin mining hub – should further study how to remain attractive to the crypto industry, according to a local politician. As reported