Argentina is all set to roll out new polices in the coming year that will likely impact the crypto sector as well. According to the official speech made on December 13th, plans for a free currency circulation policy for 2025, permitting transactions in bitcoin and multiple currencies, have been announced by President Julier Milei of Argentina.
The vision follows Argentina’s goal of being a crypto hub and President Milei’s pro-crypto stance.
Argentina All Set For Better Crypto Transactions in 2025
The proposed new regulations would promote financial freedom and flexibility throughout the country by enabling Argentines to transact in any currency they choose, including Bitcoin.
Additionally, a comprehensive tax reform that would lower 90% of national taxes was also announced by Milei. By empowering individual states to create their own taxation schemes and reducing financial strain on citizens, this plan aims to support local economic decision-making.
Argentina Signs Agreement With El Salvador For Digital Asset Industry
Today’s vision board comes just a day after El Salvador and Argentina had signed a new agreement for the digital asset industry. As UnoCrypto reported earlier, in an effort to boost their respective digital asset industries, El Salvador and Argentina have inked a training and cooperation agreement.
The agreement, which was made public on December 11, is a component of El Salvador’s larger plan to increase its proficiency in regulating cryptocurrencies and cultivate global alliances in the developing digital economy.
Argentina President Milei Takes Pro-Crypto Stance
With the global development in the crypto diaspora, a nations growth usually depends upon how well governments, regulators and even the common public is willing to accpet digital assets.
A good example of this was the past couple of years in the US. A strict regulatory watch alongside a government that was not ready to be on the same side as the crypto sector had halted the nations growth.
However, things now seem to change with the incoming president Trump. In similar tones, in June 2024, Milei fervently argued for Argentina to embrace Bitcoin and allow unfettered currency competition.
His idea was adapted to Argentina’s particular economic environment, even though it was reminiscent of El Salvador’s early adoption of Bitcoin.
When it comes to cryptocurrency, Argentina has been a regional leader. In the past, Argentina has strictly regulated its foreign exchange. Nonetheless, it was among the first to embrace cryptocurrencies, partly to guard against inflation and to get around restrictions on sending money abroad.
Argentina Crypto Growth: What To Expect?
With a push from the local government alongside a keen interest of the audience, Argentina’s crypto sector is likely to see a surge in the coming years.
Researches highlight that the nation’s crypto sector is expected to grow at a compound annual growth rate (CAGR 2024-2025) of 3.03%, reaching a total estimated value of US$706.1 million by 2025.
By the end of 2024, the cryptocurrency market in Argentina is expected to generate an average revenue per user of US$66.5. Additionally, according to projections, user penetration in the nation will rise from 23.79% in 2024 to 23.76% in 2025.