This summary text is fully AI-generated and may therefore contain errors or be incomplete.
Non-government organization Bitcoin Argentina has proposed a draft bill to regulate the cryptocurrency market in a way that maintains decentralization and strengthens public trust. The president of Bitcoin Argentina, Ricardo Mihura, presented the proposed legal framework at a conference in Buenos Aires. This is a significant shift for Bitcoin Argentina, as they previously rejected the idea of regulation. However, they now argue that regulation is necessary to hold bad actors accountable and protect the integrity of the blockchain. The proposed bill categorizes cryptocurrency platforms and service providers into three groups based on their level of centralization. Platforms falling under the centralized categories would be allowed to operate freely, but customers would have the right to claim damages in the event of a company’s downfall. The bill also recognizes the importance of decentralized platforms and states that Argentina’s judiciary will not intervene in their failures. Mihura emphasized that an outright ban on cryptocurrencies would not be effective, given the global nature of blockchain. Instead, the proposed bill aims to provide the best legal protection for citizens, including holding responsible those involved in fraudulent activities. This proposal comes at a time when Argentina is facing an inflation crisis, with one of the highest annual inflation rates in the world. The country is also preparing for a presidential run-off election, with one candidate advocating for the abolition of the central bank and the adoption of the US dollar.