Times are speeding up. The entry of Bitcoin to the corporate world is increasingly feasible. Either as a way to protect value or to innovate.
Bitcoin is transforming into a highly attractive asset for the corporate world. The world’s leading companies are beginning to capitalize with cryptocurrencies as a way to broaden horizons and, why not, win along the way.
For this reason, and in order not to be left out of the crypto world, companies are looking to digital currency most popular in the world as a store of value. That is, to take care of the capital and gain profitability, in addition to increase your asset portfolio.
Recently, Bloomberg published a report called Bitcoin Making Gold Redundant in which it warns that “the process of replacing gold by BTC is accelerating“in the portfolios of many institutions, and that”BTC in 2021 is becoming a global digital store of value“.
In the country, there are still few companies that dare to make the big leap. The motives? The lack of clear regulation and a still immature market that is in the process of training.
Andrés Burecovics, a lawyer specialized in the export of services and cryptocurrencies, points out that there are two opportunities to take advantage of cryptocurrencies in Argentina: “On the one hand, begin to accept them as way to pay, and on the other, safeguard the capital that, otherwise, would have in pesos“.
One of the companies that is actively using cryptocurrency is Lemon Cash, an Argentine startup which was born in 2019 and which aims to “digitize the economy of people and businesses.” The fintech, whose main product is a digital wallet, has headquarters in Argentina, Uruguay and Ecuador.
Alejo Blasco, head of PR and media head of communications, tells iProUP: “From Lemon we believe that the future is in Bitcoin. We think that having a part of assets in cryptocurrencies is very important. Especially when we work with them every day. Also, we invest a percentage of our Balance Sheet in Bitcoin because we consider that it is key to be in tune with what we work. ”
The Lemon Cash Team
Blanco mentions that have a part of the company invested in cryptocurrencies is aligned with the idiosyncrasy of the firm.
“We grew up very hand in hand with the crypto world, for us it is natural to handle ourselves that way. It was born together with the idea of the creation of the company. Also, we have indoor trainings on these topics. ”
Finally, he anticipates that the signature is launching Lemon Card, a prepaid card looking for combine fiat money with cryptocurrencies that users already have on their platform.
But how do you make this leap? For Burecovics, “the implementation of cryptocurrencies to the financial life of the company is quite simple“.
“It is convenient to access training to understand the nature of these assets, although starting to use them in daily corporate life would not require major technological investments. Neither for companies, nor for individuals. Anyone who knows how to use the homebanking app with your cell phone, you might as well use a similar service cryptocurrency-based“, he assures.
Along these lines, the lawyer comments that in the case of Argentine companies and individuals, cryptocurrencies give the possibility of parting with pesos.
And it adds: “There is no cryptocurrency stocks, that’s why whoever has local currency could easily replace it with cryptos. Some will say that BTC’s volatility doesn’t make it ideal for this, at least in the short term. They do not have to replace their pesos with BTC, they might as well do it for any stablecoin that has a set 1-to-1 parity to the dollar. The benefit is evident, the company can be dollarized quickly and legally. “
Along the same lines, Matías Part, Chief of Operations for Latam de Dsdaq (trading firm backed by Tim Draper), mentions that currently it is valid to take BTC as a store of value, fnot only due to the depreciation of the peso but also of the dollar on a global level.
“To think of Bitcoin as digital gold is not unreasonable since it is scarce, only 21 million units were issued and over the years it will appreciate more and more,” he warns.
In addition, the executive comments that “companies must diversify their earnings and invest them in other assets or new tools that serve for an expansion. Today, dump a fraction of profits to Bitcoin for long-term thinking it can be one of the smartest bets. Of course, from Dsdaq we encourage companies to cheer up. Also, we suggest that you place only the capital that makes the company not enter into any type of future problem “.
Notably there are local exchanges that today offer over-the-count (OTC) tables, in which they take care of institutional clients and also offer a competitive market price.
“There are companies that allocate between 1% and 5% of their profits to protect Bitcoin, and that has brought them more benefits than many years of collection and that several traditional instruments together “, he describes.
The corporate side
Emiliano Limia, Press Officer of Buenbit, says that his firm has a specialized unit in this field, oriented to companies and financial businesses, from where accompany and advise firms that are operating with cryptocurrencies, in addition to offering tax accounting advice.
“Any company can operate easily. You just have to create an account on the platform and trade buying cryptocurrencies with an experience similar to the homebanking operation of any bank, “he asserts and adds:” The accounts have no opening or maintenance cost, and are used to operate both on the platform and in over-the-counter (OTC) markets.
In addition to BTC, you can also trade DAI, a stablecoin 1: 1 with the dollar, and that, due to its characteristics, it can be considered by Argentine companies as the most suitable for saving or safeguarding capital “.
It indicates that historically, the price of BTC is correlated with the balance of the US Federal Reserve (FED), which issued trillions of dollars, and that generates an increase in the debt / GDP ratio.
“Both low interest rates globally like the issuance of money in many countries, like the United States, generate devaluation expectations and therefore, a weaker dollar. For this reason, several institutions decide to put part of their portfolio in bitcoin“, he concludes.
One of the industry benchmarks, Rodolfo Andragnes from Fundación Bitcoin Latinoamérica, from where they run a campaign titled “It’s bitcoin time“From its place, the foundation tries to get the cryptocurrency to the most remote corners:”To capitalize in Argentina in BTC is to make the decision not to consider the dollar as the only long-term store of value reserve “.
“Bitcoin can play a key role in this diversification,” he adds. And he adds that, low profile, more and more companies are turning to this option.
In other words, they choose to broaden the horizons of their investment portfolios. Bitcoin (and other cryptocurrencies) appear as a “digital vault” that, in addition to protecting capital, promises to multiply it in the coming years.