Argentina Launches Crypto Exchange Registry to Boost Market Integrity

The National Securities Commission (CNV) of Argentina has officially launched its Virtual Asset Service Provider (VASP) registry, with nearly a hundred applications already submitted by individuals and legal entities, according to a government announcement.

The new VASP registry aims to regulate entities wishing to offer crypto trading services within Argentina. Interested parties must await registration confirmation before they can begin operations. Since the registry’s launch, the CNV has received 85 requests from legal entities, out of which 35 have been successfully registered. Notably, four foreign platforms are among those registered, though their names were not disclosed.

Entities that comply with the registration requirements can continue their operations in Argentina. Conversely, those failing to register will be prohibited from conducting activities until they achieve compliance.

Striving for Compliance and Security

Argentina introduced these mandatory registry requirements for the crypto sector in late March. CNV chair Roberto E. Silva highlighted the urgency of these measures, stating the country “worked against the clock to advance compliance” aimed at combating money laundering and terrorism financing.

Despite these efforts, there is a growing concern within the local crypto community regarding increased government regulation. In an interview with Forbes, Manuel Ferrari, a member of the Argentinian NGO Directive and co-founder of the Money On Chain protocol, expressed strong opposition to the registry. He labeled it a “terrible idea” and emphasized that Bitcoin is “money, not a security.”

The launch of the VASP registry marks a significant step in Argentina’s attempt to regulate the rapidly evolving crypto market. However, it also underscores the tension between regulatory bodies and the crypto community, which fears that excessive regulation could stifle innovation and the fundamental principles of decentralization that cryptocurrencies embody.

As the CNV continues to process applications and enforce compliance, the dialogue between regulators and the crypto community remains crucial. Finding a balance that ensures security without compromising the innovative spirit of the crypto space will be key to the success of these regulatory measures.