Argentina President Javier Milei reaffirmed his endorsement of Bitcoin as a means to rejuvenate the national economy.

In a statement on June 19, Milei declared that Argentina would allow the use of various currencies, including digital assets like Bitcoin, under a framework of currency competition. He emphasized:

"There will be open competition among currencies. If you choose to use Bitcoin, there will be no obstacles. You can also utilize other units such as WTI, BTU, or any that best suits your business needs. In accounting terms, this is addressed through the functional currency method."

Former VanEck executive Gabor Gurbacs praised Milei's comments, noting:

"The world has much to gain from the modern economic approach in Central and South America, with Argentina and El Salvador leading the way."

Milei's stance aligns with his longstanding support for the cryptocurrency industry. Throughout his campaign, he criticized central banks as a "scam" and advocated for cryptocurrencies to empower the private sector financially.

Since assuming office, however, Milei has not yet implemented specific Bitcoin policies. His administration has prioritized addressing Argentina's severe financial crisis, focusing on immediate measures and preparing for significant austerity steps.

These efforts have shown some success, as Argentina's monthly inflation rate declined for the fifth consecutive month in May, dropping below 5% from a peak of over 25% in December when Milei took office. Despite this improvement, the country still faces the highest annual inflation rate globally, nearing 300%.

There is speculation within the crypto community that Milei may follow El Salvador's lead in adopting Bitcoin. Reports indicate that Argentine agencies are collaborating with their counterparts in El Salvador to develop a strategy for Bitcoin adoption. Additionally, Milei has engaged with various cryptocurrency projects, including Worldcoin.

Nevertheless, Argentina ranks among the top 15 crypto markets globally, according to the Chainalysis 2023 index. The report highlights that Argentinians are increasingly turning to Bitcoin and other digital assets as a hedge against the ongoing economic challenges in the country.