Argentina introduces national registry for crypto exchanges to enhance market integrity

Mindful of market integrity, Argentina is launching a national registration system for crypto exchanges, signaling a tightening of control over the emerging sector.

Argentina’s National Securities Commission (CNV) has launched the Virtual Asset Service Provider (VASP) registration, which has received applications from nearly a hundred individuals and legal entities, according to the government’s statement.

The registration authority will accept new applications from organizations interested in offering crypto trading services in the country, provided that applicants wait for registration approval before starting transactions. The commission says that of the 85 requests received from legal entities since the registration was launched, 35 have been successfully registered so far, including four anonymously foreign platforms.

The announcement states that those who comply with the obligation to submit registration requests to the registry will be allowed to continue operating in Argentina, while non-compliant organizations will be prohibited from operating until they are registered.

Argentina first announced mandatory registration requirements for the crypto space in late March; CNV president Roberto E. Silva said the country was “working against the clock to advance compliance” aimed at preventing money laundering and the financing of terrorism.

Despite these measures, the local crypto community has expressed concerns about increased government regulations. Manuel Ferrari, a member of the Argentinian NGO Directive and co-founder of the Money On Chain protocol, criticized the registry as a “terrible idea” in an interview with Forbes, arguing that Bitcoin is “money, not a security.”

As Crypto.news previously reported, Argentines are turning to Bitcoin and other cryptocurrencies as a financial haven, leading to an increase in both legitimate transactions and fraudulent activity. Therefore, CNV regulation claims to reduce these risks without hindering innovation in the crypto space.