The Central Bank of Paraguay placed digital lender Ueno Bank into resolution after finding that its solvency ratio had fallen below half the legal minimum. Its three million customers temporarily lost access to their accounts, while the bank managed roughly $850 million in public funds. The crisis triggered political fallout, including President Santiago Peña’s resignation, and arrest warrants for eight bank executives. At the same time, USDT traded as high as 6,942 guaranis on peer-to-peer markets, a premium of up to 13% over the central bank’s reference rate. Growing demand for a dollar-denominated asset outside traditional banking has revived the rationale behind Bitcoin’s creation: enabling people to hold and transfer funds without relying on a bank’s permission.
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