Latin America's rapidly expanding stablecoin payments market could face disruption if a small number of wholesale liquidity providers lose access to banking services, according to a new report by crypto venture firms Varys Capital and Verda Ventures.

Stablecoins are cryptocurrencies designed to maintain a stable value against reference assets such as the US dollar, and they have become a widely used tool for payments and remittances across Latin America, where residents frequently seek access to dollar equivalents amid local currency volatility.

The two firms reviewed 494 companies operating across the region using Verda Ventures' Stablescape database. Their analysis identified just 16 firms whose primary focus is wholesale stablecoin-to-fiat liquidity, corporate treasury services, and credit. Wholesale liquidity, in this context, refers to the large-scale conversion between stablecoins and local fiat currencies — the back-end infrastructure that turns digital dollar balances into spendable local money for the region's payment and remittance services.

Amit Chu, a partner at Verda Ventures, warned that disruptions affecting these providers could widen conversion spreads, delay cash-outs into local currencies, and leave funds stranded with the affected firms.

The findings underscore the scale of stablecoin adoption in the region. Chainalysis data cited in the report shows that stablecoins accounted for 32.1% of Latin America's cross-border crypto transaction value as of June 2026, alongside 22.1% of domestic peer-to-peer activity and 17.6% of personal wallet balances. That adoption scale is what gives the provider count its significance: more everyday payment and remittance activity runs through stablecoins, the region's ability to move between digital dollars and local currency increasingly rests on a small specialist layer of firms.

The report did not, however, establish the extent of actual liquidity concentration, as the Stablescape database does not track transaction volumes or market shares. Chu said some exchanges and payment companies may also depend on the same underlying liquidity providers. The finding is therefore structural rather than measured: it maps a thin layer of specialist firms beneath the region's stablecoin activity, while leaving open how concentrated real-world market share actually is.

According to the report, clearer licensing rules, stronger access to banking services, and local-currency stablecoins could help broaden liquidity provision across the market. Chu said resilience would depend on maintaining multiple independent, well-capitalized providers with separate banking relationships. For readers tracking the market, those recommendations double as benchmarks to watch: licensing clarity, banking access, and the development of local-currency stablecoins are the areas most likely to indicate whether the liquidity base broadens beyond the small specialist layer the report identified.

Source: BitcoinKE