Stablecoin liquidity in Latin America may depend on a limited number of providers, according to investor Verda. A disruption affecting a key provider could leave users facing higher costs or delays when converting to local currency. Spreads would widen, cash-outs to local bank accounts would slow or pause, and funds in transit with a failed desk could be stuck. The report identifies an additional 112 billion dollar opportunity for stablecoin firms in Latin American remittances. Demand is driven by fragmented banking systems and costly cross-border transfers.
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