Tether and KriptonMarket Collaborate to Enable USDT Acceptance in Argentina

Tether, the issuer of the world's largest stablecoin, has announced a partnership with crypto on/off ramp platform KriptonMarket to facilitate USDT transactions in the Central Market of Buenos Aires. This collaboration aims to enable market merchants to accept USDT as payment for goods, pay bills, and even a portion of employees' wages with the stablecoin. The move comes as Argentina grapples with hyperinflation, with the peso's value sharply declining in recent years. Tether hopes that the introduction of this payment system will provide an inflation hedge for small businesses and reduce intermediation costs by facilitating direct digital transactions. Paolo Ardoino, Chief Technology Officer of Tether, expressed the hope that this initiative in Buenos Aires could set an example for similar implementations worldwide. Alongside the payment system, Tether and KriptonMarket plan to conduct educational programs to foster blockchain businesses and crypto enthusiasts in the city. As of now, USDT remains the largest stablecoin in the market, with a market cap of $82.9 billion.

Inflationary Challenges in Argentina and Tether's Solution:

The Central Market of Buenos Aires, comprising 900 wholesale and 50 retail businesses employing 2,000 individuals, serves as a vital hub for fruits and vegetables in Latin America. However, Argentina has been grappling with hyperinflation, with the country's fiat currency, the peso, experiencing a significant decline in value over the years. In April 2023, inflation in Argentina reached 108.8%, the highest figure since 1991. In light of these challenges, Tether aims to shield small-scale businesses from the effects of hyperinflation by introducing the USDT payment system in collaboration with KriptonMarket. By transacting in USDT, merchants and customers can potentially mitigate the impact of the country's inflation rate and conduct direct digital transactions, eliminating intermediaries and reducing costs.

Tether's Vision for Financial Freedom:

Paolo Ardoino, the Chief Technology Officer of Tether, highlighted the importance of providing solutions for the people of Argentina to pursue financial freedom amidst their nation's currency devaluation. Tether believes that by leveraging blockchain technology and offering state-of-the-art payment solutions, they can contribute to ending the fight against financial discrimination. The partnership with KriptonMarket in Buenos Aires is seen as a step toward this goal, and Tether hopes that the successful implementation in Argentina can serve as a model for similar initiatives worldwide. By empowering individuals and businesses with secure and innovative tools, Tether aims to help preserve the value of earnings and investments in the face of rising inflation.

Stablecoins as Inflation Hedges:

With many fiat currencies experiencing high inflation rates due to monetary policies in response to economic distress, individuals worldwide seek ways to preserve the value of their earnings and investments. Stablecoins, such as USDT, have emerged as inflation hedges, offering users the ability to save, access, and utilize their capital in a modern and innovative manner. In countries like Nigeria, Colombia, Venezuela, and Sudan, stablecoins provide businessmen and professionals with a secure route to participate in international financial markets by transacting with assets tied to the value of foreign currencies. However, concerns persist regarding stablecoins, as their values are typically pegged to fiat currencies, often the United States Dollar (USD). If the global adoption of USD declines, it may impact the value of these seemingly stable cryptocurrencies.

Conclusion:

Tether's partnership with KriptonMarket to support USDT transactions in the Central Market of Buenos Aires aims to provide an inflation hedge for small businesses in Argentina. By leveraging stablecoins, merchants can accept USDT as payment