Argentines are increasingly turning to Bitcoin to protect their wealth in the face of a sharp decline in the Argentine Peso (ARS), which has quadrupled in value against the US dollar over the past year.Latest statistics reveal huge spike in Bitcoin acquisitions, transactions reported Double in one week.
The week ending March 10th marked a milestone for Bitcoin trading in Argentina. 35,000 people have flooded crypto exchange platforms, a spike not seen in the past 20 months. This increase is a direct response to the stunning decline in ARS since March 2023 from USD 0.0049 to USD 0.0012.
Local exchange LemonCash has noted this notable increase, but it's not alone. Competing platforms Ripio and Belo are also in line with this growth trend, with Belo's CEO Manuel Beaudroi highlighting the change in consumer behavior. Bordroy pointed out that while stablecoin transactions fell by 10%, Bitcoin and Ether transactions grew 10 times in 2024 compared to the same period last year.
This pivot to cryptocurrencies is not limited to investment strategies. In December 2023, a statutory decree was issued facilitating the use of Bitcoin for certain transactions, and this move is already having an impact on everyday life. Rosario's rental contract is paid in Bitcoin, illustrating the growing integration of digital currencies into Argentina's economy.
As the country faces strict currency controls and soaring inflation rates, many peoplecrypto cave” — The Informal Market for the USD Stablecoin — Highlights Argentina’s nuanced approach to digital asset usage.