Venezuela's dramatic premium for the U.S. dollar-pegged stablecoin Tether (USDT) has cooled significantly, falling by approximately 40% since its peak earlier in January. Data from P2P Army reveals that USDT prices on peer-to-peer (P2P) platforms have returned to levels last seen in December, before the U.S. special forces' arrest of President Nicolás Maduro on January 3.
The premium had skyrocketed to 140% above the official U.S. dollar rate on January 7. At that time, the official dollar rate was 320 bolivars, while P2P traders were paying 769 bolivars per USDT token. This surge was triggered by fears of forthcoming military intervention and economic chaos following Maduro's capture.
Economists now attribute the sharp correction to easing political tensions and a clearer, though still challenging, economic outlook. "As the days go by and the economic path forward becomes clearer, the overreaction of the exchange rate is subsiding," economist Asdrúbal Oliveros told Venezuelan newspaper El Nacional.
Experts clarify that the initial price surge was driven more by speculation than panic buying. "All the political events that occurred generated volatility," economist Jesús Palacios explained, noting that speculative, low-volume trades on exchanges like Binance pushed stablecoin values to "sky-high levels." He described a "shallow market" with trades as small as $20 or $30 triggering inconsistent sell rates.
In response to the extreme volatility, Binance implemented temporary price limits in its P2P markets as a risk control measure on January 8, stating it aimed to protect users during times of extreme market movements.
While the frenzy has subsided, a premium persists. At the time of reporting, the official USD rate is approximately 345 bolivars, while USDT trades at around 460 bolivars on Binance's P2P market. Some vendors are reportedly resisting the price drop, but the market overall is showing signs of stabilization and a return to more transactional use of stablecoins rather than speculative hoarding.
