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June 28, 2022
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Argentina Considers Bitcoin Future Regulation Proposal

Matba Rofex is Argentina’s most important futures and options market. They currently have a Bitcoin MtR index expressed in Argentine pesos (ARS) calculated every 1 minute. They also showed interest in direct investments in cryptoactives and in startups.

The petition has just been released to the public by the members of Matba Rofex, but the deputy general manager of financial markets, Ismael Caram, also revealed that he had already applied for authorization in December last year, and said that he understands that the license does not would come at the moment, as Bitcoin futures are still uncharted territory for them.

The company would target “skilled and specialized investors” and corporations that are knowledgeable about “the product and its volatility” rather than the market in general. They expressed that they intend to pay attention to the market in general, but the decision is based on the need to attend to the security regulators in Argentina.

Although Bitcoin futures and options are already offered by many international exchanges, none are officially regulated by official regulators or the Central Bank of Latin America.

The deputy stated in a call to the Bloomberg portal:

We want to attract clients from the regulated market, who cannot operate on unregulated exchanges, (…) We have noticed an initially more continuous demand from clients, who intend to add exposure to cryptoactives.

CNV’s regulations would allow access to the Bitcoin futures and options market for institutional investors who otherwise face many regulations when they want to place shares on other platforms available around the world. The company also explained to a local news portal:

Although the Bitcoin Index cannot be traded today, Matba Rofex has submitted a Futures and Options project on this index to CNV and it is hoped that it can be a benchmark for other capital market products such as Common Investment Funds or ETF . These are new products, whose approval may take some time. Matba Rofex’s initiatives also include direct investment in crypto assets and startups related to this new industry.

Is Bitcoin Futures regulation possible?

In the Argentine cryptocurrency overview, there is a lot of talk about whether Argentina could follow in El Salvador’s footsteps to adopt Bitcoin as its legal currency.

With a high rate of inflation and a system that does not allow Argentines to easily sell and buy dollars at the best price in the market, many of them are adopting cryptocurrency as a way to save and make investments.

Previously, Argentina’s president had not been clear about the government’s views, stating that he believed the adoption of cryptocurrencies could help to deal with hyperinflation, but acknowledged his little knowledge of the matter. This event generated a lot of comments and speculation.

There is current discussion around a possible bill, which intends to officially offer wages in Bitcoin and other digital currencies as an alternative to the official currency. Deputy José Luis Ramón stated that this bill:

… arises from the need to promote greater autonomy and wage governance, without the implications of loss of rights or exposure to situations of abuse in the workplace.

Matba Roflex’s petition comes at a time when cryptocurrencies are of great interest to the Argentine government and economists. However, general expectations for this regulation to be accepted soon are low, as CNV has not been the most enthusiastic party regarding digital currencies.

CNV spokespersons told the local news portal, Infobae:

CNV has been meeting with Rofex on the subject and made it clear that although it will evaluate the product, today it is not a priority on its agenda, and it also depends on the opinion of other areas of the state such as the Ministry of Economy and the Central Bank of Argentine Republic.

Source: Bitcoinist

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