Chainalysis: Venezuela and Argentina became the leaders of South America to use stablecoins – Bits Media

The analytical company reported, that the use of stablecoins with a binding to the dollar is growing in Latin America, especially in countries with high inflation and devaluation.

Chainalysis analysts claim, that in Venezuela and Argentina small transactions (less than $ 1,000) on 34% and 31% respectively, consist of stable coins. General Director of the Argentine Cryptocurrency Exchange Ripio Sebastian Serrano (Sebastian Serrano) considers, that stablecoins are popular, since they offer digital hedging in dollars:

“Argentines use cryptocurrency for security. That's why there are so many cases of using stablecoins: This is a reliable digital alternative to storage of a fiat dollar ".

While the Venezuelans have already got rid of currency control, Argentines are still under the restrictions on the purchase of dollars. Besides, In Argentina, there are different exchange rates for different cases of using the dollar. Recently the government introduced two new exchange courses, named Qatar and Coldplay. All this makes Stablecoin's proposal even more interesting, allowing citizens to bypass currency control.

Not only people in Argentina and Venezuela rely on stable coins to protect savings. In Brazil, country with one of the largest continent economies, There is also a high level of use of stablecoins. According to the data, submitted by the Brazil tax office for August, USDT and USDC entered the first five cryptocurrencies, used to move assets in large volumes. for instance, Tether coin was used to move 1.4 billion in 79 836 transactions with an average amount of almost $18 000.

 Recently Chainalysis reported, that since July 2021 in June 2022 the leaders in the growth of cryptocurrencies in various spheres of life became the countries of the Middle East and North Africa.