According to Revista Enterate, Argentine digital bank Uala will suspend its cryptocurrency activities and customers will be required to sell their holdings of cryptocurrencies.
Uala currently has 300,000 users holding crypto and they must sell their crypto within 30 days.
Argentina Central Bank Asks Banks Not to Intermediate Cryptocurrency Transactions
Last week, the Central Bank of Argentina requested that banks not support their customers in their digital asset business.
While crypto wallets on the market have not changed their services, Uala has had to stop selling Bitcoin and Ethereum, the two cryptocurrencies it allows to be bought and stored.
The following statements were used in the statement made by Uala:
“All persons who have opened an account to trade crypto through Ualá have already been notified. Those who have invested in crypto will be paid an economic compensation of 5% of the amount sold after their assets are liquidated, in return for their trust in us.
We will continue to move decisively on our path by constantly innovating and respecting the law in every country where we operate.”
The regulation implemented in the fintech market in the country also prohibited Argentina's leading fintech Mercado Pago from including cryptocurrencies in its investment program, as in Brazil and Mexico. The company said the following on the subject:
“We had to suspend the possibility of crypto activity, which is just one more option in our vast investment menu.”
When asked about their differences with other businesses, they simply said, "Every fintech has interpreted the rule with their legal department, and we think we're included."
*Not investment advice.
