Argentina tightens FATF-aligned crypto rules; Coinbase exits

Coinbase Pulls Out of Argentina Despite the Country Outpacing Brazil in Crypto Adoption

  • Coinbase will end ARS-to-USD Coin (USDC) trading in Argentina on January 31, following an internal performance review. (announced)
  • Argentina leads Latin America in crypto ownership at 19.8%, edging out Brazil at 18.6%, per Rankings Latam. (research)
  • The country’s high crypto use is tied to economic instability and limited access to traditional banking, the research says.
  • March 2024’s Law 27,739 created a VASP framework and placed crypto firms under the National Securities Commission (CNV). (text of the law)
  • The new rules align Argentina’s oversight with FATF standards to strengthen anti-money laundering controls and reduce friction with global partners.

Coinbase will stop the purchase and sale of USD Coin (USDC) using Argentine pesos starting January 31, the company said in an announcement after an internal review (stated). The move follows the exchange’s market entry less than a year ago.

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Shares of Coinbase Global Inc. closed at $236.53 and rose further to $237.88 in after-hours trading the same weekend, with retail sentiment described as bearish on social platforms.

Regional research by Rankings Latam finds Argentina now has the highest crypto ownership rate in Latin America, with 19.8% of the population holding digital assets, compared with 18.6% in Brazil (data). The study links high adoption to economic instability and limited access to traditional financial services across the region.

In March 2024, Law 27,739 established rules for virtual asset service providers and placed supervision of crypto companies with the National Securities Commission (CNV) (official text). The law defines virtual assets as tradable digital representations of value and excludes official government currencies.

The legal framework aims to align Argentina’s crypto oversight with Financial Action Task Force (FATF) standards to tighten anti-money laundering controls and minimize regulatory friction with international partners.

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