Paolo Ardoino, chief executive of Tether, announced that use of the USDT stablecoin has expanded rapidly in Venezuela, Argentina, Bolivia, and Turkey. He cited growing adoption among residents turning to USDT as their national currencies lose value and accessing U.S. dollars through traditional banking grows more challenging.
USDT as a Digital Dollar Substitute Amid High Inflation
USDT is designed to maintain a value equal to the U.S. dollar, giving individuals a way to transact and save in dollars without requiring American banking services. This has allowed users to conduct instant transfers between digital wallets and trading platforms, bypassing local currency volatility.
Ardoino described USDT as an essential part of economic infrastructure in several developing countries, supporting both internal business activities and cross-border payments.
USDT has become a critical component of economic infrastructure in multiple developing nations, facilitating both internal commerce and cross-border transactions, Ardoino noted in his announcement.
Turkey’s economy has struggled with persistent inflation in recent years. Consumer price inflation fell from 49.4% in September 2024 to 30.9% by December 2025, while the International Monetary Fund projects about 23% inflation to persist through the end of 2026. In response, more Turkish citizens rely on USDT to help maintain their purchasing power during volatile periods.
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AAPLArgentina has faced similar difficulties, recording 3.4% monthly inflation in March 2026 as the national currency weakened. Peer-to-peer USDT transactions have become a favored strategy among Argentinians wishing to hold assets linked to U.S. dollar value.
Stablecoin Integration in Venezuela and Bolivia
In Venezuela, businesses are increasingly integrating USDT into daily operations—including retail sales and global trade settlements—alongside bolivars, physical U.S. dollars, and other digital assets.
According to analytics firm Chainalysis, Venezuela processed $44.6 billion in cryptocurrency transactions from July 2022 through June 2025, securing 18th place in global crypto adoption and ninth when adjusted for population.
Bolivia has demonstrated strong official and institutional support for stablecoins. The country’s central bank regularly publishes an official USDT reference rate based on peer-to-peer trades on Binance. Several Bolivian banks now offer services connected to USDT, and companies use stablecoins for remittances and international payments, particularly in the energy sector.
In a January review, Bolivia’s central bank pointed to economic risks such as foreign exchange restrictions, elevated inflation, and shrinking international reserves.
Chainalysis reports that Latin America generated approximately $1.5 trillion in cryptocurrency transaction volume between July 2022 and June 2025. Argentina contributed $93.9 billion, Venezuela $44.6 billion, and Bolivia $14.8 billion to this total.
On the popular Bitso platform, which operates throughout Latin America, dollar-denominated stablecoins accounted for 40% of user purchases in 2025, outpacing Bitcoin at 18%.
| Country | Crypto Volume (July 2022–June 2025) | Global Crypto Adoption Rank |
|---|---|---|
| Argentina | $93.9 billion | 20th |
| Venezuela | $44.6 billion | 18th |
| Bolivia | $14.8 billion | N/A |
| Turkey | N/A | 14th |
Mini dictionary: Chainalysis, a blockchain analytics company, provides data and rankings on global cryptocurrency adoption and transaction volumes, helping institutions and governments assess digital asset activity worldwide.
Tether said its products reached over 570 million people by March 2026, with USDT’s circulation climbing to a record $188 billion. This performance has reinforced its status as the largest dollar-pegged stablecoin by market capitalization.
Risks and Regulatory Considerations
Despite growing adoption, users should be aware that USDT’s stability depends on Tether’s reserve management and is not covered by government insurance or deposit guarantee schemes. Additionally, regulatory changes could affect user access in some markets.
