Argentina, does the limit to foreign capital push towards cryptocurrencies?

In Argentine the specter of default. A fear due to the announcement of the US rating company S&P Global Ratings, which decided to place the South American country in a position of technical default. A move motivated in turn by the announcement by the Bairense government of an extension of the short-term maturities of public securities which practically takes shape, again according to S&P, as a "failure to respect the agreed payment times".
If the technical default, quantified in 110 billion dollars, could be removed in the event that the repayment of the securities should eventually take place, it should however be stressed that this is only the last sign of a progressive deterioration of the country's position.

The control measures on the gearbox

However, there is another emergency measure to attract analysts' attention in the last few hours. There severe weight devaluation, which has lost 36% of its value against the dollar over the past month, has in fact pushed the government of Buenos Aires to introduce exchange control measures, in particular by placing limits on the purchase of dollars and transfers abroad. Exporting companies will now be obliged to change the Argentine dollars collected within five working days or within 180 days from the export of the goods, while natural persons will not be able to transfer more than 10,000 dollars abroad or purchase foreign currencies for a higher amount. to this amount without prior authorization from the Argentine Central Bank.

The appeal of Bitcoin is growing

In correspondence with the deterioration of the weight, the most evident is to be registered in Argentina growing popularity of Bitcoin and other cryptocurrencies, which in the country led by Mauricio Macrì have found fertile ground in this regard. In August, in fact, the listing of BTC on LocalBitcoins, the well-known platform for the peer-to-peer exchange of digital coins, became much higher than that in force in the rest of the globe. A situation that pushes many analysts to foresee a further leap forward of the queen of cryptocurrencies, already over the next few weeks.

Tim Draper calls for legalization of virtual coins

In this context, the recent declarations issued by Tim Draper, known American businessmen and longtime supporter of cryptocurrencies. Indeed, during a meeting with Macrì, he advised the President of Argentina to proceed without delay with the legalization of digital assets, which could be decisive in order to improve the country's shaky economic situation. According to Draper, the revolution triggered by Bitcoin is even more important than that favored by the advent of the Internet. The adoption of virtual currencies could in fact lead to a significant improvement in decisive sectors such as banking, commercial and financial systems.
A vision shared by Technology Review, the magazine published by Massachusetts institute of technology (Mit) of Boston, according to which, however, it is appropriate to focus not on the too volatile Bitcoin, but on a stablecoin, or on a more stable asset.