Binance Expands Its Services in Argentina Amid Regulatory Pressure

Cryptocurrency exchange Binance is expanding services in Argentina, allowing users to buy and sell digital currencies directly with local pesos.  

The move allows Argentines to transfer pesos into a Binance account via a local partner, which can then be used to purchase cryptocurrency. Until now, Binance had operated in Argentina only as an intermediary platform to match crypto buyers and sellers.

The U.S. Commodity Futures Trading Commission (CFTC) late last month sued the firm​ and CEO Changpeng Zhao for operating what the regulator alleged were an "illegal" exchange and a "sham" compliance program. A Binance spokesperson called the CFTC’s actions "unexpected and disappointing".

As Binance has faced mounting scrutiny from regulators, the exchange has lost some banking partners needed for so-called on-ramp, off-ramp transactions to fiat currencies. Paysafe, which processed sterling payments, most recently withdrew in March.

Argentina does not regulate crypto exchanges, but the central bank has repeatedly warned about the risks of cryptocurrencies and markets regulator CNV is backing a bill to create a registry of providers offering virtual assets.

Source: Reuters