Cryptocurrency exchange OKX has announced its expansion into Argentina as part of its ongoing strategy to target the Latin American market. The move follows its launch in Brazil in late 2023.
In a recent statement, OKX announced that Argentinian users will be able to access OKX’s crypto exchange platform, along with a self-custody wallet and the ability to trade non-fungible tokens (NFTs).
Argentina ranks 15th on Chainalysis’ global crypto adoption index, a metric that assesses on-chain and real-world data to measure which nations are at the forefront of crypto adoption. Meanwhile, Brazil ranks 9th.
We’re thrilled to announce the official launch of our exchange and Web3 Wallet in Argentina!
— OKX (@okx) February 7, 2024
The announcement comes approximately nine months after competitor crypto exchange Binance launched exchange services in Argentina.
In April 2023, Maximiliano Hinz, director for Binance in the Southern Cone told Reuters that the expansion decision was due to the growing demand for crypto services in Argentina.
“This launch has to do with the public demand that exists here,” Hinz stated.
Meanwhile, OKX president Hong Fang emphasized Argentina’s significant growth in crypto adoption in recent times
“We are delighted to officially launch the latest expansion of our world-class exchange and Web3 wallet in one of the most vibrant cryptocurrency markets in Latin America.”
Fang further noted that Argentina is a priority as part of its expansion plan across Latin America.
“The promise of crypto and blockchain is expanding across Latin America, and Argentina represents a crucial launchpad for our regional growth strategy,” Fang stated.
This follows the recent announcement of the “Bases for the Reconstruction of the Argentine Economy” decree passed in December 2023, permitting citizens to use Bitcoin and other cryptos to settle contracts within the country.
Diana Mondino, the minister of foreign affairs, international trade and worship of Argentina, confirmed the news that “Argentina contracts can be settled in Bitcoin, and also any other crypto.”
Meanwhile, in October 2023, Cointelegraph reported that Latin America prefers centralized exchanges (CEXs) over decentralized exchanges (DEXs) compared with the rest of the world:
“Latin America shows the highest preference for centralized exchanges of any region we study, and tilts slightly away from institutional activity compared to other regions.“
However, in May 2023, Argentina’s central bank banned payment providers from offering crypto transactions to reduce the country’s payment-system exposure to digital assets.
The monetary authority stated that the purpose of this was to subject fintech companies to the same regulations as conventional financial institutions in Argentina.