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Argentine peso plummets after digital currency proposal

The Argentine peso has reached an all-time low following a proposal made by Economy Minister and presidential candidate Sergio Massa to introduce a national digital currency.

The exchange rate in the 'blue' market saw a sharp increase, peaking at 850 pesos per US dollar before experiencing a slight pullback to 843 pesos, after the announcement. 

Recent reports disclosed Massa's intentions to present his Argentine digital currency initiative to Congress for consideration.

Official sources from the economy ministry have provided more detail, explaining that the implementation of this national currency plan will occur in two phases.

The first phase involves strengthening the existing financial ecosystem, while the second phase focuses on establishing a central bank-backed infrastructure for the issuance of the digital currency.

Sources emphasized that the introduction of the Argentine digital currency is expected to promote financial inclusion by providing greater freedom and autonomy in everyday transactions.

Moreover, it aims to eliminate unnecessary financial bureaucracy in the country.