Sergio Massa, an Argentine presidential candidate, has pledged to launch a central bank digital currency (CBDC) as a solution to Argentina's longstanding inflation crisis. Massa, the second-leading candidate, emphasized the importance of defending the country's currency and rejected the idea of dollarization. He proposed the introduction of a CBDC accompanied by a laundering law to allow those with money abroad to bring it to Argentina without facing new taxes. The presidential election is set for October 22, with Massa facing competition from pro-Bitcoin candidate Javier Milei, who advocates for the adoption of the U.S. dollar and the abolition of Argentina's central bank.
Argentine Presidential Candidate Sergio Massa Vows to Launch Central Bank Digital Currency (CBDC) to Tackle Inflation Crisis
Argentine presidential candidate Sergio Massa has made a commitment to launch a central bank digital currency (CBDC) as part of his strategy to address the country's persistent inflation crisis. Massa, who is the second-leading candidate, outlined his plan during an Oct. 2 presidential debate, emphasizing the severity of the inflation problem in Argentina.
Massa's proposal includes the introduction of a CBDC for Argentina, aiming to provide a comprehensive solution to the inflationary challenges. He indicated that the CBDC launch would be a global initiative covering all of Argentina. Additionally, Massa suggested implementing a laundering law that would enable individuals with money abroad to bring it to Argentina and use it freely without facing new taxes.
Rejecting the idea of dollarization, Massa urged citizens to defend the national currency. He emphasized patriotism and discouraged the promotion of the U.S. dollar as an alternative currency for Argentina.
The Argentine general election is scheduled for October 22, with Massa facing competition from other candidates. Pro-Bitcoin candidate Javier Milei, who won Argentina's primary election in August, is among the contenders. Milei has expressed his preference for adopting the U.S. dollar as Argentina's currency and has made a campaign promise to abolish Argentina's central bank.
Javier Milei, an economist and libertarian, has been critical of central banking and considers Bitcoin a response to "central bank scammers." He contends that the Argentine peso facilitates political scams through inflation.
Argentina's inflation crisis has been a longstanding issue, and different candidates propose varying solutions. Patricia Bullrich, the third-leading presidential candidate, envisions a currency regime where both the Argentine peso and the U.S. dollar coexist as legal tender if she wins the election.
The Argentine peso has experienced a significant depreciation, falling over 99% against the U.S. dollar since December 2023. Inflation in Argentina ranks as one of the highest globally, following Venezuela and Lebanon, according to most data.
(BRAYDEN LINDREA, COINTELEGRAPH, 2023)