Central Bank of Argentina prepares new regulations for digital wallets

The regulator announced that it is introducing them because there is a possibility of fraud

26.02.2022 - 08:15

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What’s new? The Central bank of Argentina is working on a new group of regulations designed to control all digital wallets in the country. This new legislation framework aims to crack down on fraud that these tools can facilitate.

Information on the Infobae website

What are the regulations for? The regulator is preparing a new set of regulations to better understand what is happening to the funds in these wallets and to improve KYC measures. Regarding how this will be implemented, the bank stated:

“It is not about prohibiting anything, but about applying the same rules that banks must comply with today in relation to knowing their customers.”

The bank has announced that it is introducing new rules because there is a possibility of fraud when it comes to the use of these tools. Some companies lack their due diligence when engaging customers. Not all wallets function in the same way, so the rules have to be applied on a case-by-case basis.

Who cooperates with the bank? While the Central Bank is drafting a new legislative framework, AFIP, the Argentinian Tax Authority, has already begun confiscating funds in the wallets of taxpayers with debts. The digital wallets of nearly 10 000 taxpayers are expected to be confiscated in the coming months.

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