BUENOS AIRES, June 8, 2025 (Reuters) — Argentina ranked first in Chainalysis' 2025 Global Crypto Adoption Index, surpassing Nigeria and India, the blockchain analytics firm reported Monday.
The report found that Argentina's on-chain cryptocurrency value received reached $85.6 billion in the 12 months through March 2025, equivalent to roughly 12% of GDP. Stablecoins, primarily Tether (USDT), accounted for 68% of transaction volume.
President Milei has embraced the trend. During a speech at the Buenos Aires Tech Week conference in April, Milei called Bitcoin "the return of money to its original creator — the private sector." His administration eliminated requirements that cryptocurrency exchanges register with the Central Bank and removed capital gains taxes on crypto transactions.
The Financial Action Task Force (FATF), which sets global standards for anti-money laundering compliance, warned in a May report that Argentina's lax oversight creates vulnerabilities for illicit financial flows. Milei's administration dismissed the criticism as bureaucratic overreach.
Major retailers including Carrefour Argentina now accept USDT and USDC for online purchases. Buenos Aires Mayor Jorge Macri announced a pilot program last month allowing residents to pay property taxes in USDT, with a 2% discount compared to peso payments.
Buenos Aires-based exchange Lemon Cash raised $95 million in a Series C funding round led by Tiger Global in April, valuing the company at $620 million. The exchange now serves 2.8 million Argentine users and has expanded into Chile and Peru.
The BCRA has taken a cautious stance. President Federico Sturzenegger acknowledged that cryptocurrency use was "a rational response to monetary instability" but warned that unregulated stablecoin markets could create systemic risks.
The regulatory landscape remains in flux. While Milei's administration has embraced crypto-friendly policies, Argentina's tax authority (AFIP) has stepped up enforcement of reporting requirements for crypto transactions above $10,000. The Central Bank maintains a registry of approved exchanges and has frozen the accounts of several unauthorized operators.
For ordinary Argentines, cryptocurrency has become a practical tool for navigating economic uncertainty. Supermarket chains report that 15% of online purchases are now paid in stablecoins, and real estate listings increasingly quote prices in USDT alongside pesos.
The adoption trend has attracted scrutiny from Argentina's trading partners. The European Union's financial intelligence unit has flagged Argentine crypto transactions in its latest risk assessment, citing concerns about money laundering through peer-to-peer platforms. The Milei administration has responded by requiring exchanges to implement know-your-customer protocols for transactions exceeding $1,000.
Despite regulatory tensions, the crypto sector continues to expand. Buenos Aires has emerged as the regional hub for blockchain development conferences, with the annual Ethereum Argentina event drawing 12,000 participants in March. Several Argentine universities have introduced blockchain technology courses, producing a pipeline of developers for the growing industry.
