Brazilian Soccer Club Welcomes Argentina's First Crypto Signing Amid Economic Slowdown

As the exchange rate differential between the US dollar and the Argentine peso widens, the opportunity for Argentine soccer players to getting signed by international teams also increases.< /p> New

Argentina's economic restrictions have reached the sports industry, with the first signing of a local soccer player with cryptocurrencies making national headlines.

The transfer of midfielder Giuliano Galoppo from Banfield's Athletic Club to Sao Paulo Futebol Clube was made in USD Coin (USDC), exceeding $6 million and up to $8 million depending on the volatile exchange rate of the Argentine peso, according to local sources. The transfer was made possible through a collaboration with Mexican crypto exchange Bitso.

“We are very proud to work with these two clubs for this historic signing of Sao Paulo with all the security, transparency and flexibility that the crypto-economy has to offer,” said Thales Freitas, director of Bitso at Brazil.

The transfer took place in a difficult economic context for Argentine sports clubs. The reported exchange differential between pesos and dollars continues to widen, affecting the ability of football players to be signed by international teams and prompting them to renegotiate their contracts to adjust their salaries to the volatile price of the dollars.

The country's unstable economy has led to a massive adoption of cryptocurrencies, especially stablecoins. The stablecoin trend notoriously intensified after the shock resignation of Argentina's economy minister earlier this month.

The practice of adopting crypto has also been replicated in sports by players and clubs across the country. However, this would be the first time that clubs could accept cryptocurrencies as a form...