Argentina ordered crypto exchanges to start providing reports on the crypto users as the country still tries to halt the devaluation of its national currency as we reported in our previous cryptocurrency news.

Argentina took steps in the past few months to regulate the entire crypto industry and the move came as the country tried to fight the capital flight. Argentina updated its regulatory framework to include more control on the financial operations related to crypto and as a result, Argentina’s tax authority, AFIP demanded monthly reports on the client data from crypto exchanges with the release of Form 8126.

The regulation targeted payment processors and other non-bank entities that offer some financial services like crypto exchanges. The mandated disclosure is quite extensive and includes a list of users, movement of funds, and available balances at the end of the month. The formalization of the document came after an initiative from the Central Bank of Argentina ordered crypto exchanges and banking institutions to provide personal information of their clients that deal with crypto.

The Central Bank demanded all information that will identify customers who held crypto-asset accounts or that were engaged in the purchase, sale, and crypto payments. The Central Bank asked for data of third parties that were authorized to move these funds. The government of the current President Alberto Fernandez is trying to control the capital outflow, the devaluation of the national currency, and tax evasion. The Argentine peso lost 10% of the value between April and January. Clamping down on the crypto transactions is the next logical step. Cryptocurrencies are booming in Argentina, not because of the store of value properties but also because they have been off the radar of the traditional financial system.

The Argentinian politicians were working to change this and the proposal of the ruling party wants the AFIP to take charge of the ecosystem while the opposition proposed a shared responsibility among the AFIP, CNV, and the Central bank. Argentina has the seventh biggest BTC trading volume in Latin America on P2P platforms but according to information from MakerDAO, the use of stablecoins like DAI is growing.

Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://www.dcforecasts.com/altcoin-news/argentina-ordered-exchanges-to-provide-monthly-reports-on-users/