Venezuelan government introduces Tether (USDT) as dollar alternative

Venezuela’s government is gradually allowing the use of Tether (USDT), a dollar-pegged cryptocurrency, in private sector currency exchanges, according to international media sources. The move comes amid U.S. sanctions on oil exports, which have significantly reduced the country’s access to foreign currency.

Previously, companies importing raw materials had to convert bolivars into U.S. dollars, mostly sourced from oil sales and foreign card transactions managed by the central bank. However, declining oil revenues have severely affected the inflow of dollars.

Although the U.S. Treasury recently granted Chevron a restricted license to resume oil exports after a three-month pause, the agreement explicitly prohibits payments to the Venezuelan government, further limiting the availability of foreign currency.

In this context, since June 2025, Caracas authorities have reportedly allowed broader use of USDT, a stablecoin designed to track the value of the U.S. dollar. The initiative aims to support commercial transactions in the absence of traditional dollar liquidity.