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The Argentine Province of San Luis Issues Its Own Stablecoin

The government has approved the release of its own stablecoin for the province of San Luis, which will be pegged to the US dollar, as well as fully backed by liquid assets of the province.

“Activo Digital San Luis de Ahorro” - San Luis' own stablecoin, according to the document, can be issued in the amount of 2 percent of the annual budget of the province. This bill is aimed at the versatile development of the province.

“The purpose of this Law is to introduce blockchain technology to encourage financial innovation that will stimulate social, economic, cultural development and financial accessibility in the province.”- it is written in the document.

The stablecoin will be available to citizens of the province over the age of 18. And pupils from the age of 16 will be able to exchange their "Estampillas Escolares de Ahorro para Mi Futuro” (savings assets for the future of schoolchildren) for the new stablecoin.

There are no technical details about the launch of the new digital asset in the document, the blockchain on which the stablecoin will work is also unknown as yet.

The new bill considers not one, but several blockchain technologies that can positively affect the cultural and social development of the province. In addition to the stablecoin, the law refers to “ACTIVOS DIGITALES SAN LUIS DE ARTE”, which opens up new opportunities for artists from San Luis. Now artists will be able to present their works in the format of NFT tokens and put them up for sale on an internal platform from the province.

“The ‘SAN LUIS ART DIGITAL ASSETS’ will be art collections from the Province, giving local artists the opportunity to digitize their work and have it launched on the digital market through an internal web platform for purchase and sale. For the creation of these collections, NFT (Non Fungible Token - Token No Fungible) technology will be used, making this work of digital art unique, granting ownership and authenticity to the artist or holder of the digital asset.” - it is written in the document.

This is not the first introduction of blockchain technologies into the life of the provinces of Argentina in 2022. In August, in the province of Mendoza, permitted the payment of taxes using cryptocurrency. In April of this year, the mayor of Buenos Aires also said that soon the residents of the city would also be able to pay their taxes using cryptocurrency. At the same time, members of the government stated that the state would not store crypto assets, they would be converted and transferred to the state treasury in pesos.

It is worth noting that the introduction of blockchain technologies has occurred in both small and large provinces of Argentina. This can be seen in the example of the provinces described above: the population of San Luis is about 430 thousand people, and about 2 million people live in Mendoza.

Let's hope that the active interaction of the Government of Argentina with digital technologies will help the development of the country and bring it to a new level. And we will continue our observations and report the news!