Bitcoin Becomes a Credit Line: Argentina Gets Its First BTC-Backed Visa Card

In a country where trust in banks has been eroded by decades of currency crises, a new crypto product is aiming to redefine how people access credit. Lemon, Argentina’s second-largest crypto exchange, has launched the nation’s first Visa credit card backed by Bitcoin collateral—allowing users to spend without selling their BTC or relying on traditional banks.

The card gives Argentines access to peso-denominated credit lines with no bank account, no credit history, and no interaction with the local financial system that many have grown wary of. For a population shaped by repeated peso devaluations, the appeal is immediate.

Lemon’s model is simple but powerful. Users lock a minimum of 0.01 BTC as collateral and receive a credit line of up to 1 million Argentine pesos. The Bitcoin is not converted into pesos or used for payments—it remains untouched, acting purely as a guarantee for the credit limit.

If the user repays their balance, their Bitcoin stays intact. In this way, long-term BTC holdings are transformed into usable spending power rather than assets that must be sold to cover daily expenses.

According to local reports, Lemon plans to introduce more flexibility over time, allowing users to adjust both collateral size and credit limits based on their needs.

Argentina’s financial history explains why a product like this resonates. Years of inflation, capital controls, and currency collapses have pushed households away from the banking system. First came cash dollars under mattresses. Then came crypto.

Bitcoin and stablecoins have increasingly become stores of value and tools for everyday transactions. Lemon’s credit card builds directly on that reality, positioning crypto not just as savings, but as functional financial infrastructure.

The exchange is also developing dollar-denominated spending options. In the future, users may be able to settle purchases using stablecoins like USDC or USDT instead of pesos—further reducing exposure to local currency volatility.

Crypto-backed credit is not unique to Argentina. In the U.S. and Europe, fintech platforms already allow users to borrow against Bitcoin or stablecoins while continuing to hold their assets.

What makes Lemon’s launch notable is its timing and context. In Argentina, access to credit is often limited, expensive, or tied to fragile institutions. A Visa card backed by Bitcoin bypasses many of those barriers in one step.

The launch comes amid a rapid expansion of crypto infrastructure across Latin America. Centralized exchange flows in the region have surged roughly ninefold over the past three years, and Argentina is at the center of that growth.

The country now ranks as the second-largest market in Latin America for on-chain crypto activity. Estimates suggest that nearly 20% of Argentines actively use crypto in daily life—one of the highest adoption rates in the world.

Regulation is also shifting in crypto’s favor. Since President Javier Milei took office in December 2023, Argentina has adopted a more welcoming stance toward digital assets.

Congress has advanced a framework requiring crypto service providers to register and comply with anti-money laundering rules, signaling formal recognition of the industry. Meanwhile, the central bank is reviewing proposals that would allow banks to offer crypto services, with potential approval as early as April 2026.

Lemon’s Bitcoin-backed Visa card reflects a broader shift in how crypto is used in emerging markets. It’s no longer just about speculation or long-term storage—it’s about practical access to money in economies where traditional systems have failed.

For Argentines, Bitcoin is becoming more than a hedge. It’s turning into a credit line, a payment rail, and a bridge to everyday financial life—without selling a single satoshi.