- USDT’s price surged 40% in Venezuela, now trading over 300 bolivars, as demand heavily outpaces the official dollar rate.
- Everyday use of USDT for transactions is growing, making the digital asset a functional alternative to the local currency.
The price of the USDT digital dollar in Venezuela has increased by 40% over the past month. Data from the monitoring site P2P.Army shows the value rose from 214 to 300 bolivars per USDT.
This activity primarily occurs on the peer-to-peer market of the Binance cryptocurrency exchange. On that platform, the average purchase price for USDT is 300 bolivars, while the selling price averages 293 bolivars. In contrast, the official exchange rate set by the Central Bank of Venezuela for the US dollar is 173.73 bolivars.
USDT is a type of stablecoin, a digital asset whose value is linked to the US dollar. However, it remains a distinct cryptocurrency with its own legal classification under Venezuelan law. The sustained rise in its price connects directly to several economic conditions within the country.
A primary factor is the profound depreciation of the local bolivar currency, accompanied by high inflation and reduced purchasing power. The situation includes a scarcity of physical foreign currency in the economy. At the same time, the everyday use of USDT for daily transactions has grown, increasing demand.
Furthermore, the Central Bank of Venezuela implements currency controls to slow the bolivar’s decline. This involves allocating US dollars to national banks for official market sales.
Yet, these official dollar liquidations often fail to meet total market demand. Consequently, many companies and individuals must seek alternatives outside the official system, turning to parallel markets and platforms like Binance to acquire USDT.
