The premium on stablecoins in Argentina, which often exceeded 100% during the strictest capital controls in 2023, has narrowed to approximately 4% by August 2026. This development stems from President Javier Milei’s government decision in April 2025 to lift the $200 monthly cap on dollar purchases and eliminate a 30% withholding tax on foreign currency transactions. Since the controls were lifted, Argentines have acquired over $26 billion through official channels, with net purchases around $22.7 billion. This narrowing of the premium has significantly reduced the profitability of arbitrage strategies that exploited the gap between the official rate and cryptocurrency rates, although 94% of Argentine peso trading volume still flows through stablecoins.
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