Argentina's economic crisis: can digital currencies be the solution?

Argentina is currently contending with one of the highest inflation rates globally, alongside economic stagnation and a rising poverty rate and, after more than a decade of economic struggles, the country finds itself teetering on the brink of collapse. Under President Javier Milei's new government, aggressive fiscal and monetary reforms aim to stabilise the economy, prioritising the eradication of the fiscal deficit (which reached 4.4% of GDP in 2023) and tackling chronic inflation that has averaged 190% between 1944 and 2023. In this dire context, there is a growing interest in digital currencies as a potential solution to transform the economy and fight decades of economic strife. So, could digital currencies help cities such as Buenos Aires address these challenges?

Source: Teamblockchain

Although once among the wealthiest nations, Argentina now faces a severe economic downturn - for example, $100,000 in pesos from 1995 is worth just a mere $310 today. And, amidst this turmoil, over…