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Argentina Financial Technology

The Argentine fintech industry has experienced remarkable growth in recent years, with the number of fintech companies more than doubling from 158 in 2019 to 432 in 2024. The top sectors within the industry include lending, payments and remittances, wealth management, and financial management, with all but lending seeing substantial growth over the past two years. This growth has been driven by increasing demand for digital financial services, a supportive regulatory environment, and a pool of talented entrepreneurs.  

Key Statistics:  

  • The largest market is digital assets with assets under management (AUM) totaling US$330 million in 2024. The average AUM per user in the digital assets market is projected to amount to US$110 in 2024.  
  • 81.5% of Argentines used some form of virtual wallet in 2023, with Mercado Pago leading the market.  
  • As of July 2023, US$1.7 billion was invested in fintech common investment funds.  
  • From January to July 2023, investment accounts grew 183% (87.5% when accounting for inflation), while fixed accounts grew 48% (1.8% loss when accounting for inflation).  
  • The Argentine Chamber of Fintech (Cámara Argentina de Fintech), founded in 2017, is the primary industry association, providing a platform for collaboration, advocacy, and knowledge sharing among its members.  

Regulatory Environment:  

The Milei administration has pledged to reduce regulations on financial technologies and provide greater freedom to startups. One such example includes the medium-term goal to remove the requirement that finance companies must register with the Central Bank and provide constant access to capital. The process of deregulation is ongoing, and further developments are expected. The Central Bank of Argentina has taken the lead in developing regulations for the fintech sector, particularly in areas such as digital payments, e-money, and virtual wallets. The Secretariat of Finance also plays a crucial role in shaping the fintech regulatory environment, particularly in matters related to taxation, anti-money laundering, and counter-terrorism financing (AML/CTF) regulations.  

Blockchain and Cryptocurrency:  

Argentina ranks 15th globally and 2nd in Latin America for cryptocurrency adoption, with Bitcoin and USD-backed stablecoins being the most popular. The government recently approved the official recognition of Bitcoin in legally binding contracts, and many expect the industry to rise in popularity as more citizens use cryptocurrencies to avoid increasing inflation and conduct business transactions. Cryptocurrency revenue in Argentina is currently valued at US$193 million and is projected to reach US$343 million by 2028, with an annual growth rate of 15.37%. The number of cryptocurrency users is expected to grow from 3 million in 2024 to 3.74 million by 2028.  

Opportunities for U.S. Companies:  

The Argentine fintech industry presents significant opportunities for U.S. companies to invest, partner, and collaborate with local fintech firms. Areas of potential collaboration include mobile banking, blockchain, AI-driven lending, and cross-border payments. U.S. companies can benefit from access to a rapidly growing market, local talent, and portfolio diversification, while Argentine fintech companies can leverage U.S. resources to scale operations, enhance offerings, and expand their reach. Moreover, as Argentine fintech companies increasingly focus on serving the unbanked and underbanked populations, U.S. impact investors have an opportunity to generate both social and financial returns by supporting initiatives that promote financial inclusion and literacy.

For additional information, including market analysis, trade events, and U.S. Commercial Service offerings, please contact the U.S. Commercial Service in Argentina at Office.BuenosAires@trade.gov.