Latin America is witnessing a significant shift in digital asset adoption, as stablecoins have overtaken other cryptocurrencies to become the most purchased crypto asset in the region. Amid high inflation, depreciating local currencies, and limited access to banking services, Latin Americans are increasingly turning to digital assets pegged to the US dollar.
The rise of stablecoins
According to Bitso’s 2025 report, which reflects the activities of one of the region’s leading cryptocurrency exchanges, stablecoins pegged to the US dollar—namely USDT and USDC—accounted for 40 percent of all local crypto purchases. By contrast, Bitcoin’s share in transaction volume has fallen to 18 percent, marking the first time that stablecoins have surpassed Bitcoin in Latin America.
Bitso currently serves around 10 million individual customers. The company’s data points to a marked change in user behavior, as people now prefer to use stablecoins for payments, savings, and money transfers, viewing them as a more reliable store of value.
The report noted, “As the proportion of Bitcoin transactions dropped to 18 percent of total transactions, stablecoins have emerged as the main preference among regional users.”
The digital dollarization effect
Experts attribute this trend to underlying economic challenges in the region. Rapid depreciation of local currencies and insufficient financial infrastructure have driven consumers toward digital assets that can hold their value. This trend, referred to as “digital dollarization,” has seen users opting for US dollar-pegged crypto instead of their own domestic currencies.
Stablecoins have become especially popular for shopping and cross-border money transfers. Despite occasional dips, the US dollar remains far more stable than many local currencies, boosting the global stablecoin market’s size to around 320 billion dollars.
Regional innovators are also fueling this movement. Argentine e-commerce giant Mercado Libre has recently launched new stablecoin-based money transfer solutions, encouraging more everyday uses of digital assets.
The ongoing role of Bitcoin
Although Bitcoin’s transaction volume has declined, it still holds a significant place in Latin American crypto portfolios. Many users continue to view Bitcoin as a long-term store of value because of its limited supply, decentralized design, and reputation as “digital gold.”
Bitso’s figures show that over half of digital asset users in the region continue to hold Bitcoin. Nevertheless, for daily payments and savings, the trend is increasingly moving toward stablecoins.
Consequently, the use of cryptocurrencies in Latin America has split into two main paths: stablecoins now dominate day-to-day financial activities, while Bitcoin is reserved largely for long-term investment purposes.
