Huobi Global announced the launch of its cryptocurrency exchange in Argentina. The South American Country’s sovereign currency, the Peso has been fluctuating violently (over 30%) in recent times. It is evidence of massive economic unrest in the country.
David Chen, senior business director at Huobi Cloud, told the media,
“The increasing demand for crypto-related products and services makes Argentina a perfect entry point for Huobi to pursue larger projects in promoting cryptocurrency and blockchain to the market,”
Huobi, found in China, is one of the leading cryptocurrency exchanges in the market. After China’s crackdown on exchanges in 2017, the exchange moved its headquarters to Singapore.
This is one of the first prominent crypto-exchanges to enter Argentina. Until now, the conversion has been supported mainly on OTC markets and peer-to-peer exchanges like LocalBitcoins. A platform like Huobi will open access to a plethora of cryptocurrencies.
Moreover, there is a significant volume of Bitcoin trading in Argentina compared to other countries. Reportedly, the weekly volume is about $15 million. This does not include the OTC markets. The Huobi OTC market in Argentina is already operational. The team has now announced for the establishment of a local gateway to initiate transactions.
Founding Executives from Huobi had earlier met with Argentinian Officials earlier this year to discuss expansion into the country.
Felix Martin Soto, Deputy Minister of Finance of Argentina had earlier noted,
“Through promoting cryptocurrency and blockchain technology and with Huobi’s assistance, we could reduce our demand for US dollars, which eventually would contribute to stabilizing the local market and attracting global investment.”
The citizens are looking for a safe haven to hedge against the volatile Peso and use as a medium of exchange as well. It provides for the perfect habitat for growth and adoption of cryptocurrencies.
Which other South American Countries do you think are viable for cryptocurrency trading? Please share your views with us.
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Nivesh from Engineering Background is a full-time Crypto Analyst at Coingape. He is an atheist who believes in love and cultural diversity. He believes that Cryptocurrency is a necessity to deter corruption. He holds small amounts of cryptocurrencies. Faith and fear are two sides of the same coin. Follow him on Twitter at @nivishoes or mail him at nivesh(at)coingape.com