BUENOS AIRES Monday, July 29 ,2024 – A law firm in Argentina has achieved a national first by registering a company with capital partially composed of Bitcoin (BTC) and USD Coin (USDC), according to a report by Infobae.
The General Inspection of Justice (IGJ), the country’s regulatory body overseeing company registration, gave the green light to the deal, marking a significant milestone for cryptocurrency adoption in Argentina.
While the initial capital contribution – USDC 195 and approximately $303 worth of BTC (0.00457621) – is relatively modest, it represents a legal breakthrough for law firms and cryptocurrency holders in the country.
Traditionally, non-cash assets like land require accounting studies to determine their value for company capital.
However, with cryptocurrency, “the procedure was different,” the law firm noted.
To facilitate the transfer, the firm created new crypto wallets on Lemon Cash and Ripio exchanges for both the company and its partner.
The real-time nature of the crypto market allowed these platforms to provide “valuation certificates” for the crypto assets at the time of transfer, a crucial step considering Argentina’s General Law of Companies (LGS) mandates precise asset valuation for capital transactions.
The registration process also involved an accountant and notary to certify the cryptocurrency value at the time of transfer and verify wallet ownership and transactions.
This development comes amid a reported trend of Argentines increasingly turning to stablecoins like USDC and USDT, potentially seeking a haven in these USD-pegged assets instead of traditional investments or trading volatile Bitcoin.
