Coinbase to End Support for Argentine Peso-Based Crypto Services

Coinbase has suspended peso-based USDC on- and off-ramps in Argentina less than a year after launch. The move comes according to reports. The company described the action as a deliberate pause aimed at reassessing its approach and returning with a more sustainable product offering as research shows.

Crypto-to-crypto trading remains fully operational. Users can continue to buy, sell, send, and receive digital assets according to Coinbase. Coinbase stated that the decision does not signal a permanent exit from the country and plans to maintain a presence through its Ethereum layer-2 network, Base as per company statements.

Users have a 30-day window to complete peso-based transactions and withdrawals before the cutoff date of January 31, 2026 according to official notices. After this date, Argentine peso users will no longer be able to buy or sell USDC or withdraw funds to local bank accounts as reported by financial sources.

Why the Move Happened

Coinbase informed users that the pause is a strategic reassessment of its operations in Argentina. The company cited the need to review and strengthen its approach to ensure long-term sustainability according to internal documents.

The move follows an internal review of local market conditions. Coinbase has not cited political or regulatory factors as the primary reason for the pause as analysts note.

Structural challenges in integrating local financial systems are often cited for such decisions. These include unclear regulation, high compliance costs, and limited transaction volumes as industry experts observe.

How Markets Responded

Argentina has one of the most active crypto markets in Latin America. Coinbase estimated that around 5 million people use crypto daily in the country.

The company highlighted its compliance-focused approach during its market entry in early 2025. It received Virtual Asset Service Provider registration from Argentina’s National Securities Commission.

The central bank is reportedly considering allowing traditional banks to trade cryptocurrencies. The potential policy shift could affect Coinbase’s future operations.

What Analysts Are Watching

Analysts are watching how Coinbase will adjust its strategy in Argentina. The company plans to maintain a presence through its Base network and continue working with local partners as market observers expect.

Market observers are also monitoring regulatory developments in Argentina. The central bank’s potential rule changes could reshape the local crypto landscape as analysts indicate.

Investors are watching for any long-term impact on Coinbase’s expansion strategy in Latin America. The region continues to be a strategic focus for the company as industry reports show.