Argentina allows U.S. crypto ETFs to enter the local market

Argentina’s financial regulator has allowed foreign crypto-related products from the US to enter the local market, which will unlock flows from abroad.

Executives on the board of directors of Argentina’s securities regulator, Comisión Nacional de Valores (CNV), announced that U.S. exchange-traded fund (ETF), including crypto-related ETFs, are now available in the country.

RG No. Under the CEDEAR program organized by 1030, Bitcoin spot ETF and Ethereum spot ETF will be released and ready for trading. This product has been banned for 6 years under Law No. 27440.

“We are pleased to announce these first approvals establishing new investment options provided in this highly innovative law.”

In the official statement of CNV president Roberto E. Silva said:

Although details are not provided on which Bitcoin ETF issuer will be allowed into the country, the commission opens the door to digital asset investment through the capital market.

In the same document, CNV announced that gold ETFs, as well as the S&P 500 index, were allowed to enter the capital market under the ticker GLD. Chinese stock market indices marked FXI were also introduced.

Regulators hope these innovations in the law could boost passive management indices, commodities and digital assets listed abroad and not publicly traded in the region.

Argentina’s public Bitcoin mining

Argentina, one of the countries in Latin America where Bitcoin allows transactions, publicly showcases Bitcoin mining supported by the Central Bank of Argentina (BCRA).

This Bitcoin mining setup symbolizes the government’s support and embraces the future of digital money through cryptocurrency. This was the first central bank to demonstrate Bitcoin mining.

The Central Bank of Argentina 🇦🇷 (BCRA) began artistically displaying Bitcoin miners and other mining machines today.

It is the first Central Bank in the world to do this. pic.twitter.com/GIjRRoa3v1

— BowTiedMara (@BowTiedMara) November 1, 2024

The aggressive move is part of Argentine President Javier Milei’s vision to combat hyperinflation, which has skyrocketed to almost 300% by April 2024, and drive the digital economy in the country. Since then, the inflation rate has gradually fallen below 200% in less than a year, according to Trading Economics.