Digital asset adoption in Latin America is undergoing a significant transformation, with an increasing number of users opting to convert their funds into stablecoins rather than Bitcoin. This shift, as highlighted in Bitso’s 2025 report on crypto adoption, underscores the growing economic pressures faced by consumers in the region.
According to the report, a striking 40% of crypto purchases in 2025 consisted of US dollar-linked stablecoins, such as Tether’s USDt (USDT) and Circle’s USDC (USDC). In contrast, Bitcoin (BTC) accounted for just 18% of purchases. This marks a notable turning point, as it is the first time that stablecoin transactions have outpaced Bitcoin in Latin America.
These findings stem from data collected from Bitso’s nearly 10 million retail users on its exchange platform and signal a shift toward what the exchange refers to as “digital dollarization.” In countries grappling with persistent inflation, currency depreciation, and limited access to conventional banking services, stablecoins present a viable option for users seeking to preserve their purchasing power and conduct transactions with relative stability.
While the US dollar itself isn’t immune to inflationary pressures, it generally depreciates at a slower rate compared to many local currencies, further enhancing its appeal as the world’s primary medium of exchange. This makes stablecoins particularly attractive for those looking to safeguard their assets and transact without the volatility associated with more traditional cryptocurrencies.
In the broader context, the global stablecoin market has witnessed substantial growth, reaching approximately $320 billion, with adoption seen in both developed and emerging economies. In Latin America, the use of stablecoins is especially practical; they are commonly employed for savings preservation, payment transactions, and cross-border remittances.
The emergence of local stablecoins is also noteworthy. For instance, Brazilian retail giant Mercado Libre recently launched a cross-border remittance service utilizing the Meli dollar stablecoin, catering to users in Brazil, Mexico, and Chile. This initiative occurred after the company discontinued its previous stablecoin, Mercado Coin, earlier in the year.
Despite the declining share of Bitcoin purchases, it remains a crucial player, functioning primarily as a long-term store of value in the region. The Bitso report indicated that Bitcoin is still retained in 52% of crypto portfolios across Latin America in 2025, a slight decrease from 53% in the prior year. Historically seen as a store of value, Bitcoin has faced price volatility and inconsistent performance in market cycles. It recently saw its price exceed $126,000 before experiencing a significant correction, with current trading levels hovering in the low $60,000 range.
Recent analyses by index maker MarketVector have reexamined the narrative around Bitcoin as a store of value. These studies argue that Bitcoin shares essential characteristics with gold, such as scarcity, decentralization, and resistance to supply increases, which are fundamental to their long-term value.
As the landscape of digital asset adoption in Latin America continues to evolve, the growing preference for stablecoins over Bitcoin reflects not only the immediate economic needs of users but also a broader trend in the region’s financial behavior. As stability becomes increasingly paramount for individuals navigating challenging economic environments, the role of stablecoins is likely to become even more pronounced in the years to come.
