Bitcoin is set to become wildly popular in Argentina

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  • New capital controls will increase demand for cryptocurrencies.
  • The government might take the cryptocurrency exchanges under control.

The central bank of Argentina slashed the limits on foreign currency purchases from $10,000 to just $200 for individuals with bank accounts. The unbanked won’t be allowed to buy more than $100 per month. The restrictive measures will stay in force for two months, according to the statement made by the regulator.

“It establishes a new limit of $200 per month for dollar purchases for individuals with a bank account and $100 for the amount of dollars that can be purchased in cash. These limits are not cumulative.”

The previous limitations, introduced by the president of Argentina Mauricio Macri in September, triggered a strong Bitcoin growth.

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Now wonder that many crypto analysts expect that the new capital controls will make bitcoin and other cryptocurrencies more popular in the country. 

“Expect the new government to extend the capital controls as well as take over the central bank, among other things. A bitcoiner’s dystopian world is shaping up down under. Argentina’s currency black market will balloon,” Alex Krüger shared his gloomy forecasts on Twitter.

The expert believes that the authorities will try to take control over cryptocurrency exchanges in the country, which will make H2H and over the counter crypto trading all the more popular. 

Notably, Macri’s administration has been loyal towards blockchain and cryptocurrency industry. The government participated in incubator program for blockchain startups launched by Binance Labs. 

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