Argentina Surpasses Brazil, El Salvador in Latin American Crypto Ownership

Argentina has emerged as the leader in cryptocurrency ownership in Latin America, surpassing both Brazil and El Salvador, according to a recent report by Rankings Latam [1]. The report reveals that 19.8% of the Argentine population now owns digital assets, placing the country ahead of Brazil at 18.6%, and El Salvador, which, despite government endorsement, has yet to surpass 15%. The region’s crypto adoption is highly concentrated, with six countries—Argentina, Brazil, Chile, Colombia, Mexico, and Peru—accounting for over 85% of all crypto ownership in Latam.

The report attributes Argentina’s strong position to its economic instability and limited access to traditional financial services. High inflation, currency controls, and a history of regulatory shifts have fostered deep public skepticism toward the national banking system. Julian Colombo, General Manager for Bitso Argentina, noted that Argentina presents a unique case where distrust in fiat currencies and institutions has accelerated crypto adoption. “There is a structural element of distrust toward financial institutions, stemming from the corralito [currency controls], successive restrictions, and untimely regulatory changes,” he explained. This environment naturally favors the use of decentralized digital assets as an alternative to traditional financial systems.

The situation in Argentina has drawn attention beyond the region. In July, a delegation of U.S. lawmakers visited the country to examine how local regulations and tax treatments have supported the growth of the crypto ecosystem. They reviewed Argentina’s regulatory advancements in stablecoins and exchanges, looking for potential policy insights that could inform similar developments in the U.S.

While El Salvador remains a notable player in the regional crypto landscape—having made Bitcoin legal tender in 2021—the report suggests that its adoption levels have not matched those of Argentina. Despite government-led initiatives, the 15% threshold for individual crypto ownership indicates that state-backed efforts alone may not be sufficient to drive mass adoption. Brazil, with its large population and expanding fintech sector, also trails behind Argentina, suggesting that institutional and regulatory factors may influence the pace of adoption.

The findings underscore how macroeconomic conditions play a critical role in shaping public behavior toward cryptocurrencies. In Argentina, economic hardship has spurred organic adoption, demonstrating that digital assets can serve as both a hedge against inflation and a tool for financial inclusion in markets where trust in traditional systems is low.

Source: [1] Report: Argentina Leads in Crypto Ownership in Latam ... (https://news.bitcoin.com/report-argentina-leads-in-crypto-ownership-in-latam-outpacing-brazil-and-el-salvador/)