The Central Bank of Argentina asked its citizens to disclose their BTC holdings as the leaked pictures show the banks not being happy with their customers using BTC so let’s read more in our latest BTC news today.
The central bank of Argentina is asking local banks to scrutinize its clients that hold BTC as well as other cryptocurrencies while engaging in businesses or trading activities using the assets according to the reports. All banks will be required to submit information on the clients making transactions to or from cryptocurrencies as the note said:
“Information that allows identifying clients who have accounts for holding crypto assets or who have declared or are known that carry out purchase and/or sale cooperations and/or payment management through/of crypto assets.”
Argentina’s Central Bank (the one with 50% annual inflation) is requesting banks to complete a sheet to identify clients known to have, trade or do payments with cryptoassets.
Here a message from a bank association to their members (leaked by the local #Bitcoin community): pic.twitter.com/Rba2rAJXDu
— Franco Amati 🦔🌎⚡ (@franamati) April 2, 2021
The local officials stated that the move was a part of a broader evaluation which includes the central bank deciding whether more regulations are needed for the crypto market in the country. According to the reports, despite there not being laws or regulations for using crypto in Argentina, the bank’s duties include “monitoring functions of payment systems” and considered the move as “within the framework of the study.”
“Inflation was 36.1%, which was at least lower than the 53.8% of 2019. Inflation is expected to reach 48% this year.” Argentina has a population of 45 million, and for each one of them, #Bitcoin has become a moral imperative.https://t.co/KpvSRpgaU2
— Michael Saylor (@michael_saylor) March 29, 2021
The banks are required to inform the central bank of each client with their addresses, types of accounts, numbers, and order cover accounts to receive of sending money transfers that are intended for operating with crypto. One of the oldest and well-known BTC proponents Franco Amati, who was also a part of the BTC community since 2011, shared screenshots of the online note and said that the move was likely aimed at the bank accounts that are tied with local exchanges:
“Most probably they are looking for local exchanges bank accounts, which is only a minor part of what’s happening. Since P2P using bank accounts is getting bigger in Argentina (Binance is winning LocalBitcoins, Paxful and others in this market).”
In the meantime, the move came as Argentina is undergoing huge inflation and faces a strong currency crisis after multi-year national bank defaults. It also chose to go after people that use BTC and other cryptocurrencies. Michael Saylor, the Microstrategy CEO noted:
“Inflation was 36.1%, which was at least lower than the 53.8% of 2019. Inflation is expected to reach 48% this year. Argentina has a population of 45 million, and for each one of them, #Bitcoin has become a moral imperative.”
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