Argentina, long a cornerstone economy for Latin America, and the world’s eighth-largest country, has been plagued by debt and diminished financial opportunities.
While this troubling reality plays out in different ways, one of the most obvious ramifications is the country’s inflation rate, which exceeded 50 percent in August 2019.
Like citizens in many other countries with fractured governments and fledgling economies, consumers are turning to decentralized digital currencies to help maintain the value of their financial assets and to facilitate commerce.
Recognizing the practical importance of cryptocurrencies in the global economy, Singapore-based Huobi Group, one of the largest crypto platforms in the world, is introducing an exchange in Argentina that will include a fiat-to-crypto cryptocurrency gateway.
Currently, Huobi’s OTC crypto service allows users in Argentina to purchase digital assets with Argentine Pesos; however, the fiat-to-crypto gateway will expand accessibility by enabling more buying methods for users.
Specifically, Argentinian users will be able to buy crypto using credit cards, bank transfers, and local digital payment methods.
Practically, this provides Huobi’s Argentinian users more flexibly when acquiring and using digital currencies as a direct replacement for the country’s national currency. With inflation driving up costs and reducing buying power, a seamless service can have a transformative effect on the local economy.
The move reflects Huobi’s broad expansion into regions ready for a crypto transformation. In June, Huobi announced an expansion into Turkey, a country with close to 20 percent crypto adoption rate.
Commenting on the launch, Carlos Banfi, CEO of Huobi Argentina, notes:
“Argentina is South America’s most promising market for blockchain development. There already exists a general consensus to break from reliance on the local currency and banks,