Kraken Registers as VASP in Argentina
- Kraken’s strategic expansion into the Latin American market.
- Argentina registration enhances local crypto access.
- Potential increase in regional crypto liquidity.
Kraken Expands in Latin America
Kraken has officially registered as a Virtual Asset Service Provider in Argentina through the Comisión Nacional de Valores, expanding its footprint in the Latin American crypto market.
Kraken’s expansion into Argentina strengthens the region’s crypto infrastructure, providing more users with local crypto access and potentially increasing trading volumes.
Kraken has positioned itself prominently in Latin America by registering as a Virtual Asset Service Provider (VASP) in Argentina. This move aims to capitalize on active crypto communities in the region, particularly in Argentina and Mexico.
Mark Greenberg, Global Head of Consumer at Kraken, highlighted the significance of this expansion, underscoring Argentina and Mexico as among the most resilient crypto communities. Kraken will enhance local currency funding using domestic payment methods to simplify user access.
“Argentina and Mexico are among the most active and resilient crypto communities in the world. With local rails and regulatory clarity in place, Kraken is uniquely positioned to help clients in both countries access the global crypto economy with the trust, security and ease they deserve.” — Kraken Announcement
The registration is anticipated to impact local markets by increasing trading volumes and liquidity for cryptocurrencies such as BTC and ETH. However, there is no on-chain data available to quantify this impact yet.
Financially, this move provides new local currency ramps for users in Argentina, allowing for deposits in domestic payment methods, which are automatically converted to USD. This action may also influence the trading of altcoins listed on Kraken.
Historically, compliant expansions by crypto exchanges have resulted in short-term increases in trading activity for main cryptocurrencies. This trend could similarly unfold in Argentina following Kraken’s regulatory compliance.
The development underscores the broader trend of crypto exchanges seeking compliance in emerging markets through official licenses, providing more regulated access to crypto platforms. Further observation of trading volumes and liquidity will determine full impacts.
