Binance, Buenos Aires to Encourage Sensible Crypto Adoption—But What About Meme Coins?

Binance and the Buenos Aires city government are working together to encourage sensible crypto adoption, they said in a joint statement on Thursday. 

The world’s biggest crypto exchange by trading volume and Buenos Aires lawmakers said they’ll work together to educate users on how to use digital assets safely via programs, awareness campaigns, and exclusive benefits. 

Binance and the city’s government said they wanted to help “more citizens experience crypto as a tool for empowerment.”

“While adoption of digital assets continues to grow globally, so does the need for responsibility and education,” the announcement said. “Crypto’s advantages, such as financial inclusion, borderless transactions, and user empowerment, can only be fully realized when users understand how to manage them safely.”

Residents and local businesses will be encouraged to use digital assets, according to the announcement. 

Buenos Aires, Argentina’s capital city, has a large crypto community, with people using stablecoins as a way of skirting rising prices. Argentina has one of the world’s highest levels of inflation. The country is among several South American nations where participation in digital asset trading and entrepreneurship have risen. 

Stablecoins are digital tokens typically pegged to the value of fiat money like US dollars that some tech-savvy users buy to gain exposure to more stable currencies. 

Argentina faced crypto controversy earlier this year when lawyers filed criminal complaints against President Javier Milei alleging fraud after he advertised a meme coin called LIBRA. 

The Solana-based token shot up in value before crashing hard, and the president quickly tried to distance himself from it after a number of investors lost money. Argentina’s anti-corruption unit in June cleared President Javier Milei for his involvement in the coin’s debut, although the criminal probe continues. 

Meme coins, which are usually based on Internet jokes and memes, are known for their extreme volatility. They may disappear quickly in some instances, making traders lots of money but also potentially costing them large sums. 

Neither the Government of Buenos Aires nor Binance immediately responded to Decrypt‘s questions about whether the new campaign would educate citizens about the potential dangers of crypto trading.