Buenbit is a cryptocurrency exchange and cross-border payment platform focused on making cryptocurrency and DeFi easily accessible to Argentinians and people across Latin America.
Nearly one million users in Argentina and thousands more across LATAM rely on Buenbit to buy, sell, and invest in a variety of cryptocurrencies (including stablecoins), take out crypto-collateralized loans, and acquire digital and physical crypto cards.
Challenge: Argentinian Restrictions and Complex Crypto Environment
Argentina has long struggled to fight against inflation. Wages, spending power and growth in the country have suffered as a result. As of today inflation continues to run at an annual rate near 100%, and monthly often above 6%.
Since 2017 as a result of these hyperinflationary conditions, Argentinians have faced heavy restrictions on buying US dollars. Sending transfers outside of the country through traditional methods was also made to be virtually impossible for the average citizen.
To tackle this challenge, the founders of Buenbit launched their finance platform in 2018 and shortly afterwards launched a $1 digital currency exchange. The platform quickly grew to over 80,000 customers as it offered an accessible way for Argentinians to exchange Argentinian Pesos for US dollars.
However, the government imposed new restrictions on buying USD shortly after the platform’s initial success. So the company decided to pivot towards utilizing cryptocurrency (specifically USD-pegged stablecoins) to fulfill its vision.
But the DeFi and crypto landscapes were not user-friendly enough for the average Argentinian. Complexity with onboarding and price volatility would drive inexperienced users away — creating another challenge for the company.
Solution: Leveraging Rootstock and RIF to Enhance Security and UX
To navigate these challenges, Buenbit integrated its platform with Rootstock. The technology and security benefits offered on the network and through the Rootstock Infrastructure Framework (RIF) product suite allowed them to simplify the complexities of DeFi and crypto.
“We decided to utilize the Rootstock network because we share the same vision. We want to bring the benefits of crypto to everyday life” – Federico Ogue, Buenbit CEO.
Buenbit is making Everyday DeFi a reality by combining 3 solutions built on RIF and Rootstock; Stablecoins, RNS, and the Rootstock network.
These solutions offer a range of benefits to Buenbit’s users:
- Stability: Rootstock native stablecoins like USDRIF have been made available on the Buenbit platform providing an alternative for Latin American users to protect their money from inflation.
- Simplicity: RNS, the RIF Naming Service, makes sending and receiving crypto much easier for users by enabling human-readable nicknames to be used in place of lengthy and complex crypto addresses.
- Security: The Rootstock network is secured by over 50% of Bitcoin hashing power through the process of merged mining, making it the most secure blockchain after Bitcoin itself. This adds an extra layer of security for users of the Buenbit app.
The features built into the Buenbit wallet combined with the advantages of leveraging the Rootstock network have allowed it to overcome the challenges the platform faced within the Argentinian market and enabled intuitive solutions to help more Argentinians shield against local inflation.
Future: Growing Buenbit’s Reach and Impact with the RIF product suite
The next goal for Buenbit is to expand to more countries and offer stablecoins and USDRIF as a solution to all Latin Americans that need to protect their earnings from inflation. The platform is currently present in Argentina, Mexico, and Peru, with the next planned expansion being to Colombia.
Beyond geographic development, the Buenbit team also plans to make the platform more user-friendly and intuitive by integrating other solutions from the RIF product suite. The goal is for the app to be so simple, intuitive, and safe that every Latin American can use it for their every financial need.