Alberto Fernández, the President of Argentina, has revealed his views on cryptocurrency in a recent interview. Fernández was outspoken about the fact that cryptocurrencies have the potential to address inflationary issues, however he also admitted that there are elements that are still unknown to him.
During the Argentine President’s first YouTube interview, President Fernández spoke about the potential of cryptocurrency in Argentina, noting that there is a huge discussion around cryptocurrency, not just in Argentina but on a global scale. He added that in his case, it is still an unknown subject, comparing it to the early days on YouTube, where twenty years ago no-one knew what it was.
“The conversation about the operation of cryptocurrencies is a global one. And I must confess that it is a matter that needs to be treated with care. In my case, [it is somewhat] unknown. But there’s no denying it, perhaps it’s a good way.”
Argentina is a country that has had issues with their national currency, following decades of high inflation stemming from the 2001-2001 financial crisis and the collapse of their banking system. Retail investment of cryptocurrencies has been favoured by countries that have faced the devaluation of their national currency, providing nationals with an alternative currency to combat inflation and a fragile economy.
President Fernández touched upon the advantages of cryptocurrencies, but was tentative when it came to confirming Argentina’s commitment to exploring digital currencies:
“Everything is possible. Some say that the advantage of this is that the inflationary effect is nullified in a big way. It is also true that it will bring insecurity because some big scams have been verified to be done using cryptocurrencies. It iis a difficult subject to touch”.
While Fernández did not expound on the matter of cryptocurrencies, he did mention the fact that the country would not say no to the use of cryptocurrencies, and that Argentina was planning to regulate crypto in line with fintech-related laws.
Despite the hesitance of their president, Argentine nationals are not holding back when it comes to investing in crypto. Argentina’s economy makes for the perfect setting for crypto investment, nationals are tired of decades of economic turmoil, and a devaluing peso. Bitcoin mining companies have seen huge growth in Argentina, and retail investment has seen a boom in the nation, with a number of exchanges reporting a tenfold growth in trading volume.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.