Argentinian cryptocurrency exchange Lemon has launched a groundbreaking Visa credit card that allows users to access peso-denominated credit using Bitcoin as collateral. This innovation directly addresses a critical gap in Argentina's fragile financial system, where high inflation, currency depreciation, and strict banking requirements have pushed millions toward digital assets.
Lemon, the country's second-largest crypto exchange with over 5.5 million users, designed the product to transform Bitcoin from a passive store of value into a practical financial tool for daily spending. Instead of forcing users to sell their BTC holdings—which many prefer to retain as a hedge against inflation—the card allows them to deposit Bitcoin as security and receive a credit line based on its value.
The initial rollout requires users to deposit 0.01 Bitcoin (currently over $900) as collateral to receive a pre-assigned credit limit of 1,000,000 Argentine pesos. Users can then spend pesos at any merchant that accepts Visa, with repayments also made in pesos, preserving their long-term Bitcoin exposure. Marcelo Cavazzoli, founder and CEO of Lemon, stated: "We created a simple way to access credit in pesos using Bitcoin as collateral, without needing a credit history."
This model fundamentally challenges traditional credit systems that rely on personal financial records, income proof, and credit scores—requirements that exclude many Argentines operating outside formal employment structures. Lemon's collateral-based approach removes these barriers, making credit accessible to freelancers, gig workers, and young users.
The launch includes significant user benefits: commission-free purchases of digital dollars, Bitcoin, Ethereum, and over 30 other cryptocurrencies. For the first three months, card maintenance fees are waived by Rootstock. Subsequently, the 7,500 peso monthly fee (approximately $5) will be waived for users who purchase over $150 worth of cryptocurrency monthly.
Future developments are already planned, including allowing users to configure their own collateral amounts and credit limits. Lemon is also developing a solution to enable dollar-denominated purchases to be paid directly in stablecoins like USDT and USDC.
Cavazzoli emphasized Bitcoin's role, calling it "the best store of value created in the history of humanity and the fundamental piece for the new digital economy." The exchange noted that in Argentina, Bitcoin is the most held asset by Lemon users, surpassing both the "crypto dollar" and the peso itself.
This product positions Argentina at the forefront of crypto-powered credit innovation, demonstrating how digital assets can support real economic activity and potentially redefine global credit systems by adapting to economic realities rather than punishing financial informality.
