Argentina’s Peso Plunges After Central Bank Tightens Foreign Exchange Controls: Citizens Discuss Bitcoin Adoption.
The Argentine peso plunged by more than 10% soon afterward the country’s central bank publicized measures to tighten controls on the movement of foreign currency. The peso, which is officially pegged at 72 for every USD, affected new lows of 145 to the greenback on the black market. The most recent plunge is understood as a additional boost to bitcoin and another cryptocurrencies in a country that has been plagued by currency trials for in excess of a century.
Quiet, in a statement out on its website in Spanish language , the Board of the Central Bank of the Argentine Republic explains the new measures by stating that they are an effort “to promote a more effective allocation of foreign currency.” Loosely translated, the statement goes on to say:
Federal Administration of Public Revenues has established a ‘mechanism for the assembling of taxes personal assets as well as on income at a rate 35% for external asset formation operations by individuals and on purchases with cards whether debit card and credit card in a foreign currency.