The Argentine government is working to establish a national CBDC

Argentina's government has taken the initial steps toward the establishment of its own central bank digital currency (CBDC). A new order with the number 207/2022 grants the Argentine mint unprecedented powers to investigate, produce, and issue digital currencies. Argentina is now following in the footsteps of nations such as Brazil and Mexico, who are actively participating in the creation of their e-currencies.

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Argentina is preparing the ground for a CBDC

Argentina's government is establishing the legal groundwork for the eventual creation of its own central bank digital currency, the digital peso. The Argentine government updated the tasks and capacities of the national mint in a decree authorized and published on April 26 with the number 207/2022, giving it additional obligations and capabilities.

The decree covers capture and digital processing of data, pictures, codes, sounds, and microchips, software design and development, digital security implementation, teleprocessing of information, printing, and/or recording of databases among these new capabilities.

Previously, the national mint could only create national money; however, the new order defends this shift by claiming that:

"At the moment, the advancement of digital environments in terms of transactions and payments... artificial intelligence and digital governance systems, as well as the emergence and proliferation of "blockchain" technology, cryptographic technologies, and assets, justifies an expansion of the national mint's reach."

According to Rosendo Gravanago, a legal counsel in the crypto asset space, this is a definite step toward obtaining a CBDC. He stated, "

"This shows that Argentina is attempting to enter the CBDC trend, which has seen the adoption of centralized electronic fiduciary money."

National Exchange and Payment Platform in Argentina

Other changes to the organization's initial aim hint at the potential formation of a nationwide exchange with payment processing capabilities. In this regard, the decree authorizes the national mint to handle and execute payments and/or collections on behalf of third parties via electronic devices, transactional platforms, or any other methods.

Gravanago told local media that:

"With this rule, the national mint is given the authority to establish a form of central exchange."

These revisions place Argentina in the Latam CBDC landscape, lagging nations like Brazil and Mexico, who are already engaged in research and development duties connected to the future issue of their digital currencies.