According to a new report from Cryptocurrency Exchange Bitso, Stablecoin adoption in Latin America is increasing as it gains financial stability in Circle's USDC and Tether's USDT.
USDC (USDC) and USDT (USDT) stubcoins have become “valuable stores” in Latin America, accounting for 39% of total purchases at BITSO in 2024.
The report highlights a significant increase in stable adoption on the platform, with a surge in Stablecoin purchases of 9% since 2023.
“In Latin America, we challenged macroeconomic conditions characterized by high inflation and currency devaluation, and promoted the increase in adoption of cryptocurrencies, particularly stable adoption, as a reservoir of reliable value,” the report states.
USDC leads the race, Bitcoin follows
Stablecoin purchases have skyrocketed, but Bitcoin (BTC) saw a noticeable decline in trading volume at Bitso in 2024, with stocks falling from 38% in the second half of 2023 to 22%.
According to BITSO, the decline in BTC purchases in Latin America indicates a growth trend in the HODL strategy. This means buying and holding cryptocurrency to benefit from long-term valuation.
The decline in BTC purchases coincided with the bull market in 2024, with Bitcoin gathering past $100,000 for the first time in history in December.
Top 10 Crypto assets purchased from Bitso to share in 2024. Source: Bitso
Bitso users refrained from purchasing Bitcoins in 2024, and their purchasing activities switched to Stablecoins like USDC and USDT, with the former leading the race at 24%.
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USDT purchases accounted for 15% of the total cryptocurrency acquired at Bitso in 2024.
Argentina is the best USDT market with a 50% share
A more detailed analysis of geographical preferences between Latin American countries showed a massive trend in USDT use in Argentina.
According to the report, Argentine BITSO users primarily supported the purchase of USDT and USDC in 2024, accounting for 50% and 22% of all crypto purchases in the country, respectively.
I bought the top 10 in Bitso, Argentina, Brazil, Colombia and Mexico. Source: Bitso
Meanwhile, the share of Bitcoin purchases in Argentina accounted for just 8% of crypto purchases at Bitso last year.
Bitso users in Brazil and Mexico continue to support Bitcoin as the cryptocurrency they purchased last year, with BTC purchasing rates accounting for 22% and 25% respectively.
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