The trade was a pioneer in accepting digital currencies in an area with prices strongly tied to the dollar. The keys to the phenomenon
Cryptocurrencies advance not just as a saving way given the restrictions to access the exchange market, but more and more Argentines are encouraged to use them to acquire products and services of all kinds.
While the number of businesses and professionals that begin to explore digital currencies grows in the country, lConsumers are taking advantage of their crypto savings to buy especially durable goods whose prices have a strong US currency component.
In this sense, as anticipated by iProUP:
But they are not the only branches that bet on digital assets: an Argentine jewelry made the country’s first transaction using cryptocurrencies.
The jewelry Hugo Iglesias placeholder image, from Santa Rosa, La Pampa, was a pioneer in its field with the sale of a watch.
“We started accepting crypto in mid-August. I’m not a specialist: I read about it, a friend advised me and I implemented it. We put a sign in the window informing that we accept bitcoin and right away we had a great repercussion. We received a large number of inquiries“, he relates to iProUP Hugo Iglesias, owner of the premises.
According to the businessman, in mid-September they carried out “the first operation, the sale of a watch valued at 30,000 pesos, which was paid with USDT“, a stable digital currency that trades at the same rate as the dollar. That amount equates to about 162 USDT.
Regarding the accounting issue, Iglesias points out that “it was billed normally like any other operation“, and realize the simplicity despite the fact that it was his first experience and that “everything was resolved without any inconvenience”.
Cryptocurrencies allow users to have no money on them and merchants receive funds on the spot
“The difference that we notice from the commercial point of view is that we pass the address of our digital wallet and, after a few minutes, while we prepared the watch with box, guarantee and others, we already had the crypto accredited“, it states.
In addition, it highlights that “it’s very good from the merchant’s point of view, because with cards we have to wait days to have the funds credited. ”Indeed, in a debit operation it can take 48 hours for the money to appear in the bank account.
“We take crypto as an additional means of payment and accept them for all the services we provide: in addition to selling jewelry and watches, we manufacture and repair, “he says.
He remarks that when dealing with his vendors, they point out that “they are beginning to accept them and thus the circuit closes “, so he believes that”the use will become more widespread“. Experts in the field assure that the sector is” ironed “by the pandemic and the premises of Libertad Street, jewelery epicenter of the city of Buenos Aires, they also started accepting cryptocurrencies.
“We will adapt to the new normal. We are eager to add operations in cryptocurrencies and we offer 25% discount“, he assures iProUP Marcelo Tello, owner of Libertad 74, one of the main manufacturers of gold wedding rings in the area.
According to the businessman, the firm works with Binance to accept payments with any type of cryptocurrency for the purchase of items from your catalog, including jewelry, What rings and rosaries, of gold, silver and platinum. Also inlaid with diamonds, emeralds, gems, and so on.
The first watch sold with Bitcoin is a Festina Chromo Bike
“If it is a personalized work, where the client looks for an alliance similar to one of an international manufacturer, We take 50% down payment and the other 50% against delivery. You can combine in both cases pesos, dollars, cards and cryptocurrencies“, he says.
Note that the wallets of digital currencies offer the user “the security of not having to carry money in hand, as he carries it on his cell phone. For us it is dynamic because it is credited on the spot“.
In addition, it warns that these currencies are ideal to pay since all inputs are denominated in dollarsTherefore, consumer prices have a high hard currency component.
In (almost) the whole country
The accountant specialized in cryptocurrencies Marcos Zocaro, points to iProUP that “in Argentina the operation is totally legalas it is not prohibited by any law. Not only jewelry, but there are also already bars in which you can pay with cryptocurrencies“.
According to the expert, “to make a payment with bitcoin for a coffee that is worth 100 pesos, the commission of the network is more expensive. That is why the Lighting Network technology, which uses the Munn wallet and lets do small payments instantly and almost no commission“.
This wallet is an Argentine app that is being used more and more in the country and also globallyl. In fact, up to Jack Dorsey, CEO and co-founder of Twitter, is a fan of Munn and celebrates every new functionality the wallet adds.
Lighting Network allows working “outside the blockchain” of Bitcoin to lower costs and make transactions instantaneous. In simple words, what it does is group several operations and then write them as a single input on the blockchain.
The wallets of exchanges such as Binance or Airtm are also being used, which have more intuitive interfaces than a crypto wallet, in addition to offering instantaneity and very low costs.
According to Zocaro, more and more companies and self-employed are turning to digital currencies for their operations. Furthermore, “there are many estate agents, for instance, that convert cryptocurrencies are quickly converted to dollars, although some are also keeping these assets, “he remarks.
On the other hand, it indicates that businesses and professionals are beginning “to set the prices of their goods and services in USDT or DAI, more often the first because it is more liquid “.
“The same taxes as in a traditional transactionl “, warns Zocaro, except in Córdoba that, after the tax reform of this year that anticipated iProUP, there is an extra levy.
“The province established that for fees and sale of a good in which you receive cryptocurrencies as part of payment, you will tax Gross Income in a normal way. But when you sell the currencies, you pay Gross Income again, “he says.
Thus, cryptocurrencies pave the way as additional payment method in Argentina, and merchants take advantage of the fact that there is already more than two million accounts to operate with these assets.