Argentina’s central bank just banned the use of credit cards to purchase bitcoin and other cryptoassets.
According to a report by Brazilian news outlet Portal do Bitcoin, the Central Bank of Argentina (BCA) is prohibiting citizens from using credits cards to purchase bitcoin.
Many industries, including cryptocurrency, got affected by the prohibition on credit card purchases. According to the release,
Acquisition of Bitcoin and cryptocurrencies: It is prohibited to purchase BTC with this payment method. The only remaining alternative for this investment is to do so with funds transferred from a bank account.
The Central Bank’s decision does not however serve as a ban on Cryptocurrencies and Bitcoin in Particular as Argentinian investors can still purchase BTC by transferring money from their bank account to the seller. The new prohibition only applies to purchases made by credit cards.
According to BCA, the prohibition is critical to preserving foreign exchange reserves in the country.