TLDR:
- Buenos Aires residents can now pay property tax, patents, and fines with crypto through QR code-enabled systems.
- The city updated tax rules to classify crypto trading separately, easing reporting for businesses in the sector.
- Virtual asset service providers are now excluded from certain bank regimes, improving liquidity for crypto firms.
- Argentina holds over 10 million crypto accounts, representing 22% of Latin America’s adoption as of 2024.
Buenos Aires has taken another step into the digital economy. The city now lets residents and businesses pay taxes and fines using cryptocurrencies. Officials said the move is part of a broader plan to cut red tape and attract crypto-related firms.
According to reports, payments for property tax, patents, gross income tax, and even driver’s licenses can now be completed with crypto. The system works through QR codes and is expected to expand to more wallets soon.
Mayor Jorge Macri said the decision aims to make Buenos Aires a global hub for digital assets. He explained that the city already has the talent and now seeks to provide the tools. Macri spoke at an event attended by government officials and industry leaders, stressing the need for a modern regulatory environment.
The announcement comes as Argentina’s crypto adoption continues to grow. Data from 2024 shows the country has more than 10 million crypto accounts, representing 22% of Latin America’s total.
New Tax Measures Target Crypto Companies
The city paired the payment option with new rules designed to help crypto firms operate more easily. Officials announced four reforms intended to simplify tax obligations and give companies greater certainty.
First, Buenos Aires updated its economic activity codes to include cryptoasset transactions. This makes it easier for companies to register and report income without confusion. Authorities said the change also improves information sharing with other jurisdictions.
Second, the city excluded virtual asset service providers from certain bank collection regimes. Leaders explained that the step will prevent unnecessary withholding of funds, protecting liquidity for crypto businesses.
Third, authorities changed the tax base for crypto trading. Instead of taxing the full trade amount, companies will now only pay on the exchange rate difference. Officials said this aligns crypto with other financial instruments.
Finally, residents can pay city taxes and administrative procedures directly in crypto. At present, only a few wallets are connected, but the government is working on an aggregator to expand access. Officials stressed that the new system will be quicker and more efficient.
Industry Leaders Back the Move
Industry voices welcomed the changes. Representatives from Binance, Bitso, Ripio, Lemon, and other platforms joined the city government at the launch event. Leaders said the measures provide legal clarity and reduce obstacles for companies expanding in Buenos Aires.
Jimena Vallone from Bitcoin Argentina said the approach shows the city’s openness to digital innovation. Manuel Beaudroit of BELO added that an efficient regulatory system helps both businesses and users.
Government officials echoed the same sentiment. Minister of Economic Development Hernán Lombardi said the changes improve legal certainty, while Finance Minister Gustavo Arengo stressed the importance of transparency.
Mayor Macri closed the event by saying the city is building an environment where crypto can thrive. He noted that businesses and workers are already using digital assets daily, and Buenos Aires must keep pace.