Argentina is going through a new episode of market nervousness after the victory of opposition forces in the parliamentary elections. As analysts predict a new devaluation on the horizon, people are in a hurry to accumulate as many dollars as they can … To be more specific, cryptomens.
So far this week, the price of “dollar bitcoin” (the reference price of the dollar in the cryptomen market) has exceeded the price of the “blue dollar” (the reference price of the dollar in the unregulated parallel market). In most cases, people exchange crypto dollars with a premium of over 10%.
Argentina wants bitcoins
According to the aggregator data CriptoyaThe spot bitcoin dollar is approximately 210.05 ARS. In contrast, the famous “Dollar Blue” has a price of about 200.5 ARS – November 17, 2021.
Dollar Blue subio 0.50% for $ 200.50. La brecha con el Dólar Oficial asciende al 89.3%
– Valor Dólar Blue (@ValorDolarBlue) November 16, 2021
When the average Argentine buys physical dollars in unregulated markets, the blue dollar is taken as the reference. Nevertheless, the increase in cryptodollar (or dollar bitcoin) appreciation is a sign that Argentines are finding an advantage in obtaining cryptocurrencies through stock exchanges and P2P trading platforms. At Localbitcoins, the average dollar is already valued at 213 ARS.
Meanwhile, the price of stablecoins is also above average. At Ripia, one of the most popular stock exchanges in the country, DAI – a very popular decentralized stablecoin in Argentina – was bought at an impressive price of 231 ARS. The lowest price for each DAI token was nearly $ 210 on Binance P2P, making it the cheapest dollar equivalent for cryptocurrency enthusiasts in Argentina.
By comparison, the price of the official dollar (determined by the Central Bank of Argentina) barely reaches 105.9 ARS per unit sold.
According to experts, interest in stablecoins and cryptomens in the country has risen sharply in response to internal market dynamics. The cryptodollar is more related to the spot-liquidated dollar than to the blue dollar, which makes it more attractive to people who want to maintain its value.
Santiago Di Paolo, Head of Community Growth and Research at the Lemon Argentine Crypto Platform, told the local news portal Ambito that cryptocurrencies are easier to handle and Argentines have access to a range of services that are not available to those who still use physical dollars or operate within the traditional financial system:
“The benefits of ‘cryptodollars’ are much more complex than owning a physical dollar, because on platforms such as Lemon Cash, you can earn fixed annual cryptocurrency yields of up to 13% in DAI (stablecoin), respectively, within the current financial ecosystem. send a digital asset to anywhere in the world immediately and at a lower cost ”.
Local governments want to tax profits from cryptocurrencies
Given the country’s severe financial crisis and the explosion in cryptocurrency, local governments have begun to focus on virtual currencies, looking for ways to either limit their use to strengthen the peso, or at least make money. profit from this economic activity.
This was recently stated by President Alberto Fernandez he had no resistance the possibility of accepting Bitcoin as a legal means of payment, given that the volume of trafficking and adoption has increased spontaneously.
And two Argentine provinces are forcing citizens to pay taxes on profits from the cryptomen trade.
First, Córdoba, determined that cryptomen transactions will be taxed, but extends this tax provision to individuals or companies that receive cryptocurrency payments for their products or services.
As for Tucumán published last week Act no. 9421, which introduces changes to the Tax Code (Act No. 5121), which amends Article 223 of the Tax Code to include crypt traders in the definition of operators of the purchase and sale of foreign currency and public securities and imposes an obligation on them to pay taxes.
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