Three key events in Latin America this week revolve around stablecoins and banking restrictions. In Venezuela, about 80% of oil sales revenue is collected in USDT and other stablecoins, with oil production rising to over 1 million barrels per day, enhancing the economic significance of digital payments. Meanwhile, JPMorgan froze accounts of two startups, and in Argentina, an agreement was signed with an external blockchain advisor.
USDT in Venezuela's Oil Economy
According to local reports, stablecoins have become the primary payment method for a significant portion of the country's oil revenue: approximately 80% of oil sales income flows through USDT. It is noted that oil production has increased to over 1 million barrels per day, making the linkage of revenue to stablecoins economically important for export payments. A detailed analysis of USDT's role in these transactions can be found in the article USDT in Venezuela's Oil Sales, which outlines the mechanisms and challenges of this practice.
JPMorgan Freezes Stablecoin Accounts in Latin America
Traditional banks are tightening controls over payment operations with crypto firms: JPMorgan froze accounts of several startups deemed "high risk," including Kontigo and Blindpay. Kontigo provides on-ramping services, cross-border stablecoin transfers, and payment solutions in Venezuela, while Blindpay operates in multiple Latin American countries such as Argentina, Mexico, Colombia, and Brazil. These actions have affected the companies' operational capabilities and led to reviews of banking relationships. More details on the freeze cases are available in the article Kontigo and Blindpay Account Freezes.
Mile's Agreement with Hayden Davis
In Argentina, President Javier Mile signed an NDA with Hayden Davis, CEO of Kelsier Ventures, appointing him ad-honorem advisor on blockchain and artificial intelligence. The agreement, as stated in sources, includes consulting on decentralization and technological modernization while maintaining confidentiality. Publications also note this move's connection to organizing and launching the Libra project, as discussed in the investigation.
Impact of Sanctions and Development Prospects
The mention of U.S. sanctions highlights that restrictive measures and difficulties with traditional payment channels have driven active use of stablecoins in Latin American transactions. However, banking incidents demonstrate that shifting to digital currencies does not entirely eliminate dependence on banking infrastructure. As a result, companies and states using stablecoins still interact with international banks and face operational risks.
Why This Matters
If you mine cryptocurrency in Russia, these developments are important primarily as indicators of stablecoin demand resilience. The fact that substantial export revenue is collected in USDT indicates real demand volumes for stablecoin liquidity, which can influence local exchange channels and withdrawal demand. At the same time, cases of bank account freezes show that fiat corridors' availability for companies working with stablecoins remains vulnerable.
For miners with 1–1000 devices, this means: there may be no direct changes in the mining process itself, but market stability and the ability to quickly convert coins to fiat depend on external infrastructure. Therefore, it is useful to monitor changes in payment services, exchangers, and banking partners through which you typically withdraw funds.
What to Do?
- Check withdrawal channel availability: ensure your usual exchangers and payment services are operational and not restricted.
- Diversify fiat exit options: maintain multiple withdrawal methods to reduce the risk of complete operation blockage.
- Keep transaction and documentation records: transparent operation history simplifies interactions during bank and payment system checks.
- Follow news about specific services: changes in Kontigo, Blindpay, and major banks can impact local liquidity markets.
- Engage with miner and exchanger communities: timely information from the community often helps adapt faster to changes.
FAQ
What share of Venezuela's oil revenue is collected in USDT? According to the article, about 80% of Venezuela's oil sales revenue is received in USDT and other stablecoins.
Who was affected by JPMorgan's account freezes? The report states that JPMorgan froze accounts of startups including Kontigo and Blindpay, which handle stablecoin payments and transfers.
What did Argentina's president sign? Javier Mile signed an NDA with Hayden Davis, who was appointed ad-honorem advisor on blockchain and AI for Argentina.