Argentinian Government to Invest in Blockchain Projects Backed by Binance Labs, LatamEx
The government of Argentina is set to invest in early-stage blockchain startups backed by the venture arm of cryptocurrency exchange Binance. This is an interesting partnership and one that potential users of Binance might cast a strange eye on. Will this become more normal for exchanges to do, to partner with governments?
The country’s Ministry of Production and Labour announced Wednesday that it will match investments of up to $50,000 into every Argentinian blockchain project that receives funding from Binance Labs via the second season of its incubator program, and LatamEX Founders Lab.
The ministry plans to invest in up to 10 blockchain projects each year for a period of four years, and will make the investments through Founder Labs, a local blockchain accelerator.
‘‘Latin America presents one of the most attractive markets for blockchain adoption and real use cases and Argentina is leading the way by serving as the market-opening gateway,’’ said Pablo Orlando, founder and CEO of LatamEx and Founders Lab.
The co-investment contract was signed after Binance Labs selected Argentina’s capital, Buenos Aires, as one of the hubs for its season two of the incubator program, according to the announcement.
Ella Zhang, head of Binance Labs, said in the statement:
“We are very excited to support blockchain projects, entrepreneurs and developers through our Buenos Aires chapter, to advise and mentor them, to find product-market fit, and provide them with in-time access to global blockchain technology development to solve local problems.”
This is yet another sign that the long crypto winter might be coming to an end. As we see more and more investments in this sector, we are starting to see more and more companies become interested in blockchain and the potential that it has for their respective businesses.
“The sector is growing, it’s growing very well. It’s providing a lot of jobs. People are using these technologies for real survival needs and finding themselves in a better world than if they had to trust the government,” Santiago Siri, founder of blockchain startup Democracy Earth Foundation and investor in several Argentinian crypto startups, told CoinDesk at the time.