Cryptocurrency exchange Huobi Group’s subsidiary Huobi Argentina announced on Wednesday a $100M investment to create a blockchain data center in the country.
The investment was announced during a live conference at the Alvear Palace Hotel by Huobi Argentina CEO Carlos Banfi: “we are going to make an investment that is not minor for Argentina’s current state…$100M to be invested in infrastructure.” The center will be dedicated to blockchain technology and it will reportedly be the largest one in the region.
Argentina has been experiencing a hard time economically with an inflation rate second to Venezuela’s, which most likely prompted an increased interest in cryptocurrencies. Additionally, Argentina’s Central Bank recently established a $200 USD purchase limit per month for residents with a bank account, drastically downsizing its previous $10,000 limit.
In September, Huobi announced it would expand to Argentina. According to David Chen, Senior Business Director at Huobi Cloud, the “increasing demand for crypto related products and services makes Argentina a perfect entry point for Huobi to pursue larger projects in promoting cryptocurrency and blockchain to the market.” At the time of the announcement, Huobi Argentina was scheduled to open a fiat gateway in October, but the launch has been postponed to the end of November.