On January 9, the Central Bank, through communication A6859, approved a series of regulations aimed at reorganizing Fintech operations, with particular focus on payment service providers (PSPs).

The regulations stipulate that PSPs must guarantee their users free access to their funds, which must be fully deposited in national currency in financial institutions in the country. These payments may be transferred at the express request of customers.

If PSPs fail to comply with the regulations they will be subject to penalties, according to the Law on Financial Institutions.

The BCRA defines PSPs as legal entities performing at least one function within a retail payment scheme, such as offering payment accounts.

Separately, according to press reports, the Federal Administration of Public Revenues (AFIP, for its acronym in Spanish) is drawing up a decree to levy taxes on electronic wallet transactions.