Argentine Banks Develop Peso Stablecoins for Institutional Clients
Two major banking holding groups in Argentina are secretly developing peso-pegged stablecoins for institutional clients. The projects, led by subsidiaries of BIND Group and Petersen Group, aim to offer programmable money services that can streamline treasury management and collateralized credit operations.
The central bank banned private banks from offering crypto-related services in May 2022, but the two holding groups are finding ways to bypass this restriction. The digital peso stablecoins will be managed by subsidiaries of the banking conglomerates, which have partnered with companies like Circle and Lirium to provide institutional access.
The key target for these offerings is the institutional sector, which stands to benefit from the smart properties of a digital peso for payments. While decentralized peso alternatives are already available, these stablecoins will have the backing of banking groups behind them.