Is Javier Milei’s Presidential Win in Argentina A Big Boost for Bitcoin?

YEREVAN (CoinChapter.com) — Argentina elected Javier Milei as the new president. The staunch libertarian is an ardent supporter of Bitcoin (BTC). He defeated his opponent, Economy Minister Sergio Massa, by getting nearly 60% of the votes. The crypto-friendly politician is set to take office next month.

Argentina President Javer Milei Slams Pesos to Favor Dollar

His victory is significant. Massa had won the first round of elections in October, securing around 37% of total votes cast against Milei’s 30%. Patricia Bullrich of the Together For Change party got 24% of the votes. Other candidates, meanwhile, shared the remaining valid votes. 

Because none of the candidates received a clear majority, a second round between the two became necessary. Milei, hence, became the underdog. Endorsed by Bullrich and supported by millions of citizens, he took on the establishment and won.

The fact that he defeated the country’s Economy Minister and favored Bitcoin is huge. 

In an interview earlier this year, he had slammed the traditional financial systems, throwing his weight behind the wide-scale adoption of Bitcoin. 

“We have to understand that the central bank is a scam. What bitcoin is representing, is the return of money to its original creator, the private sector,”

 he said in an interview with Clarín, the largest newspaper in Argentina. 

Even before the final results, Sergio Massa conceded defeat and congratulated Milei on getting elected. Following his victory, thousands of supporters stormed the streets of major cities, including the capital, Buenos Aires, celebrating the outcome. 

Outsider Javier Milei sends Bitcoin (BTC) price pumping

After the results were declared, the price of Bitcoin (BTC) showed signs of recovery from the recent slight slump. It jumped back above the $37,000 mark against the backdrop of the positive news coming from Argentina.

The country’s President-Elect is an outsider when it comes to the established political system in the country. An economist by profession, he is the leader of the Libertarian Party (Partido Libertario), established in 2018. Moreover, he leads the Freedom Advances (La Libertad Avanza) coalition, including small right-wing parties.

Milei now faces a herculean task ahead of him. Most of the people who elected him are tired of the establishment. Inflation in the country is already nearing 150%. By mid-2023, foreign debt had reached $276.2. 

As part of the 2020 restructuring deal, Buenos Aires owes about $43 billion to the International Monetary Fund (IMF). Moreover, the country owns an additional $65 billion in sovereign debt to foreign bondholders. 

To pull the country out of the economic mess, Milei has promised to make sweeping changes. These include cutting funding to a host of departments and ministries.

He has also announced his intentions to replace the ailing Argentine Peso with the US dollar.

According to him, Government bodies such as the Ministry of Science and Technology, the Ministry of Culture, and the Ministry of Education should not exist. 

Milei’s election has sent shockwaves across the globe. His far-right views and radical anti-establishment sentiments have made him notorious among liberals. His loathing for political correctness has even earned him the nickname “Donald Trump of Argentina.”

It is still unclear if Milei will make BTC legal tender like Nayib Bukele did in El Salvador. However, the fact that cryptocurrencies will feature in his policies is evident.