Argentines are turning to bitcoin to preserve the
value of their assets in the face of foreign exchange
regulation and concerns about regulatory crackdowns on
blue-chip bond swap transactions.
Argentina’s economy has struggled in
the last few years and the government-imposed exchange rate has
caused many individuals and business to lose value in their
assets. Businesses are required to repatriate capital raised
abroad and convert it to local pesos at the government exchange rate, which is fixed far
below that of the black market.
By purchasing US dollar-denominated bonds in Argentina and
then selling them aboard, the seller can ensure they get access
to dollars at the international market rate, which they are not
required to bring back to Argentina. The central bank