Uala, an Argentine neobank backed by George Soros, has launched cryptocurrency trading services for its users in Argentina. Customers of the company with the highest loyalty levels are now able to trade, purchase, and sell bitcoin and ether through Uala’s platform. The service is expected to be expanded to all customers in the coming weeks.
Uala Gets Into Crypto
On Nov 4, Argentine neobank Uala announced it is already offering cryptocurrency trading services through its app. The unicorn company, which has investments from George Soros and Steve Cohen, will roll out this functionality progressively to all of its customers in Argentina, according to statements from CEO Pierpaolo Barbieri.
Regarding the significance of the move, Barbieri stated:
Argentina is the best market to make this investment, since it is one of the countries in the region where adoption is growing the fastest.
Barbieri explained that the cryptocurrency trading option is already available to customers at the highest levels of the company’s loyalty program. The goal is to make the option available to all of the 4.5 million customers of Uala in Argentina in the coming weeks.
The company had to create an offshoot to make cryptocurrency trading available, called Uanex. At the launch date, customers will be able to access this option through the investment menu in the app, and it will be available at all times. The first cryptocurrencies that will be available in the investment app are bitcoin and ether, with more possibly coming after.
However, stablecoins will not be offered through the platform. On this choice, Barbieri explained:
We prefer clarity and transparency: Bitcoin and Ethereum are what they are. Stablecoins will have a regulation in the future.
Users will be able to invest from $1.50 in crypto, and Bitso will be responsible for offering custody of the funds in Uala’s wallet service. About the fees the company will charge, Barbieri explained that they will be quoted depending on the liquidity of funds available, but said they would be low.
Banco Galicia, a traditional private bank, tried to launch similar services in May, but the Central Bank of Argentina swiftly issued a resolution banning private banks from offering services to manage digital assets.