Tether CEO Paolo Ardoino said several developing economies increasingly rely on USDT for domestic commerce, international trade, and dollar-denominated savings, citing Venezuela, Argentina, Bolivia, and Turkey as markets where the stablecoin is gaining traction amid monetary instability.
Why These Countries Turn to USDT
USDT is designed to track the U.S. dollar, allowing users to obtain digital dollar exposure without holding a U.S. bank account. The product appeals to users whose local currencies are losing purchasing power or when physical dollars are scarce and cross-border bank transfers are expensive.
Turkey continued to face elevated inflation despite progress under its disinflation program. Consumer inflation fell from 49.4% in September 2024 to 30.9% in December 2025, according to an International Monetary Fund review. The IMF projected inflation of 23% at the end of 2026. Argentina has also continued addressing inflation and foreign exchange pressures, with monthly inflation reaching 3.4% in March 2026 following currency depreciation.
Evidence From the Ground
Chainalysis ranked Turkey 14th, Venezuela 18th, and Argentina 20th in its 2025 Global Crypto Adoption Index. When adjusted for population, Venezuela ranked ninth worldwide. In Venezuela, local businesses reportedly use USDT for retail payments and some import and export settlements, operating alongside bolivars and physical dollars in what observers describe as a hybrid currency economy.
Bolivia provides a clearer official signal. The Central Bank of Bolivia publishes a reference USDT exchange rate based on weighted peer-to-peer activity on Binance, showing how the stablecoin trades at a premium to the country's official dollar rate. Bolivia has also moved toward recognizing USDT within its national payment system, with local banks providing some USDT services.
Regional Scale
Chainalysis measured nearly $1.5 trillion in Latin American crypto activity between July 2022 and June 2025. Argentina accounted for an estimated $93.9 billion, Venezuela $44.6 billion, and Bolivia $14.8 billion. Centralized exchanges processed 64% of regional activity, showing users generally obtain digital assets through conventional trading platforms rather than decentralized protocols.
Dollar stablecoins accounted for 40% of purchases by Bitso users during 2025, compared with 18% for Bitcoin. Tether said its technology served more than 570 million users worldwide as of March 2026, and its USDT supply reached a record $188 billion during 2026.
Risks Remain
USDT represents a claim supported by Tether's reserves, not a bank deposit. Availability can change when governments or exchanges introduce new stablecoin rules. Users still face issuer risk, regulatory risk, wallet risk, and network risk. The company's user count is a company-supplied estimate rather than a count of fully identified individual users, since one person can control several blockchain addresses.
