Kaiko reports that USDT stablecoin surpasses Bitcoin in popularity in Latin America
Latin America has seen a shift in crypto trading preferences, with stablecoins surpassing Bitcoin in popularity, according to data from blockchain analytics firm Kaiko. The data reveals that stablecoin-to-fiat trading pairs accounted for over 60% of the top 10 trade volume in the region, with USDT, issued by Tether, being the most popular stablecoin and accounting for over 40% of all trades. This growing dominance of stablecoins has led local central banks to consider issuing central bank digital currencies (CBDCs), although the effectiveness of such currencies remains uncertain. Surprisingly, XRP, developed by Ripple, has even outperformed Bitcoin in the region, with the XRP/MXN trading pair having a turnover at least a billion dollars higher than the BTC/BRL pair. However, Kaiko points out that XRP’s popularity in Latin America is largely due to its partnership with the Bitso crypto exchange. Despite these shifts, Binance continues to dominate the market in terms of turnover, particularly in stablecoin trades. Nevertheless, Kaiko notes that Binance’s dominance seems to be waning in the region, as trade volumes on Mercado Bitcoin, Brazil’s largest crypto exchange, more than doubled in 2024, driven by activity in both Bitcoin and altcoins. The rapid growth of the Brazilian crypto market is evident, with monthly BRL trade volumes averaging $1.3 billion, up from $0.7 billion in 2023.
