Stablecoins have gained more popularity than Bitcoin in Latin America (LATAM), as data from blockchain analytics firm Kaiko reveals that stablecoin-to-fiat trading pairs accounted for over 60% of the top 10 trade volume in the region. Among the stablecoins, USDT, issued by Tether, is the most popular, representing over 40% of all trades. This dominance of stablecoins has led local central banks to consider issuing central bank digital currencies (CBDCs), although it is uncertain if they can effectively compete.
Interestingly, in LATAM, Bitcoin is even lagging behind XRP, a token developed by Ripple. Data shows that the XRP/MXN trading pair has surpassed BTC/BRL by at least a billion dollars in turnover. However, the popularity of XRP in the region is mainly attributed to its partnership with the Bitso crypto exchange.
Despite these changes, Binance remains the dominant player in the market, especially in stablecoin trades. Kaiko also highlights the rapid growth of the Brazilian crypto market, with monthly BRL trade volumes averaging $1.3 billion in 2024, up from $0.7 billion in 2023. However, Binance’s dominance in the region appears to be declining, as trade volumes on Mercado Bitcoin, Brazil’s largest crypto exchange, more than doubled in 2024 due to activity in both Bitcoin and altcoins.
To learn more about how Latin America has become an important player in the crypto landscape, click here.