The Argentinian government believes that the country should consider blockchain technology as a way to promote financial inclusion and reduce government costs. They have met with Huobi Group’s CEO Leon Li to discuss the role of cryptocurrency and blockchain technology within the South American state.
During a state visit to China, Felix Martin Soto, the Deputy Minister of Finance and Javier Matias Mana, the Director General of the Bilateral External Finance Bureau, met with Li and said the meeting was “an important stop during their visit to Beijing for higher level collaboration between Chinese and Argentine governments”.
Soto believes Argentina should consider blockchain technology as a way to promote financial inclusion and reduce government costs.
Cryptocurrency and Blockchain Could Reduce Demand For US Dollars
“We would like to learn how to participate in cryptocurrency and blockchain industry from Huobi,” said Soto, who leads Argentina’s international financial relations. “Through tokenization on Huobi’s platform, for example, Argentina’s plentiful agricultural, mineral and energy resources could be well financed by global investors”.
Soto added: “At present, half of our population doesn’t have bank accounts. They practice mainly cash transactions and convert their savings into US dollars.” He believes that by promoting cryptocurrency and blockchain technology, the country could reduce its demand for US dollars which would stabilize the local market as well as attract investment.
“It was a great honour to meet with Deputy Minister of Finance Soto and to explore with him Huobi’s advantages when it comes to blockchain technologies and applications,” Li said. “We hope to further strengthen our cooperation with the Argentine Ministry of Finance to achieve win-win development for both of us”.
Argentina are serious about their moves into the crypto sphere. The government recently partnered with Latin American crypto exchange, LatamEX and Binance Labs in order to invest in local blockchain products. Argentinians who use public transport are also able add Bitcoin to the credit balance on their SUBE travelcards, the national contactless smart card used by passengers.
President Mauricio Macri recently met with Tim Draper who suggested to him that adopting Bitcoin as the country’s national currency “could end up being just phenomenal, and globally, people will start saying I’m going to Argentina to start my business”.