Cryptocurrency exchange OKX has announced its expansion into Argentina as part of its ongoing strategy to target the Latin American market. The move follows its launch in Brazil at the end of 2023.
In a recent announcement, OKX announced that Argentine users will be able to access the OKX cryptocurrency exchange platform, as well as a self-service wallet and the ability to trade non-fungible tokens (NFTs).
Argentina ranks 15th in Chainaanalysis's global Cryptocurrency Adoption Index, a metric that evaluates on-chain and real-world data to determine which countries are at the forefront of cryptocurrency adoption. Meanwhile, Brazil ranks 9th.
We're thrilled to announce the official launch of our exchange and Web3 Wallet in Argentina!
This global expansion is a vital step in unlocking the potential of cryptocurrency across Latin America. Get more details here https://t.co/uiWG1Ur2Ta pic.twitter.com/W2GTfT4ynD
— OKX (@okx) February 7, 2024
The announcement comes about nine months after rival cryptocurrency exchange Binance launched exchange services in Argentina.
In April 2023, Maximiliano Hinz, Binance's Southern Cone director, told Reuters that the expansion decision was due to growing demand for cryptocurrency services in Argentina.
“This launch is driven by the public demand that exists here,” Hinz said.
Meanwhile, OKX President Hong Fan highlighted the significant increase in cryptocurrency adoption in Argentina recently.
“We are excited to officially launch the latest expansion of our world-class exchange and Web3 wallet in one of the most dynamic cryptocurrency markets in Latin America.”
Fang further noted that Argentina is a priority as part of its expansion plan in Latin America.
“The promise of cryptocurrencies and blockchain is spreading throughout Latin America, and Argentina represents an important launch pad for our regional growth strategy,” Fang said.
This follows the recent announcement of the Decree “Framework for the Reconstruction of the Argentine Economy”, adopted in December 2023, which allows citizens to use Bitcoin and other cryptocurrencies to settle contracts within the country.
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Diana Mondino, Argentina's Minister of Foreign Affairs, International Trade and Religion, confirmed the news that “Argentine contracts can be settled in Bitcoin, as well as in any other cryptocurrency.”
Meanwhile, in October 2023, it was reported that Latin America prefers centralized exchanges (CEX) over decentralized exchanges (DEX) compared to the rest of the world:
“Latin America shows the greatest preference for centralized exchanges among all the regions we study and deviates slightly from institutional activity compared to other regions.”
However, in May 2023, Argentina's central bank banned payment providers from offering cryptocurrency transactions to reduce the country's payment system's exposure to digital assets.
Monetary authorities said the aim was to subject fintech companies to the same rules as regular financial institutions in Argentina.