– According to a report from Mexican crypto exchange Bitso, Argentina, which recently elected self-proclaimed “anarcho-capitalist” Javier Mairi as president, has purchased and held the most stablecoins in Latin America over the past six months.
Amid a severe economic crisis and a weak peso, 60% of Argentina’s cryptocurrency purchases on Bitso were for stablecoins USDT and USDC, and only 13% for bitcoin.
This compares to Colombia, Brazil and Mexico, where purchases in stable coins accounted for between 31% and 40% of all cryptocurrency purchases.
Argentines are responding to the current “political and economic situation favorable for the purchase of stablecoins as an alternative to inflation and devaluation,” according to Bitso.
Argentina is the second most populous country and third largest economy in Latin America, but has long suffered from economic problems: annual inflation rose to 211.4% in 2023; according to a 2023 Chainalysis report, Argentina’s cryptocurrency penetration rate was the second highest in Latin America and 15th highest in the world.
The country’s new president isn’t a total supporter of bitcoin, but has made some friendly suggestions, calling it “a return of money to its original creator – the private sector.” Mili also called the central bank a “scam”.
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According to Bitso, the exchange has more than 8 million users across Latin America.