December 22, 2023

Argentina Allows BTC To Be Used in Settling Contracts

Bitcoin over an Argentinian flag

Bitcoin over an Argentinian flag

Minister of Foreign Affairs, International Trade and Worship of Argentina Diana Mondino recently announced that a new decree legalizing the use of certain currencies for contracts and payments would also apply to Bitcoin.

In a post on December 21st, Mondino stated that the “Bases for the Reconstruction of the Argentine Economy” decree, passed on December 20th, would allow the use of BTC and other cryptocurrencies in the country as long as certain conditions were met. Although the decree did not explicitly mention cryptocurrencies, it included provisions allowing debtors to pay in currencies not recognized as legal tender in Argentina.

“We ratify and confirm that contracts can be settled in Bitcoin in Argentina,” said Mondino. “And also any other crypto.”

Mondino stated that the new decree would allow for the settlement of contracts using liters of milk or steers. The decree also allows individuals to choose the type of currency they wish to use, which mainly refers to foreign currencies but does not explicitly prohibit the use of cryptocurrency.

“The parties have the liberty to specify the amounts and the type of currency used for the bond or security deposit, as well as the method for its reimbursement upon the lease’s conclusion,” said Article 1196 of the decree.

After winning the election against then-finance minister Sergio Massa, Argentine President Javier Milei appointed Mondino as the foreign minister. Many saw This move as a positive indication of crypto adoption in Argentina.

Previously, Milei had described Bitcoin as a step towards “the return of money to its original creator, the private sector”. However, he has not made any public statements regarding digital assets since assuming office.

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