Crypto dollar vs blue dollar: how much is each one trading for and which one should you buy?

Crypto dollar vs blue dollar: how much is each one trading for and which one should you buy?

Although cryptocurrencies are increasingly becoming one of the preferred assets for savers, either because of their ease of acquisition or because of their decentralized nature, the dollar has always been the main obsession of Argentines.

In recent times, foreign currency controls have been increased, with tax increases of up to 20% on operations, according to some digital exchangers. In such a way, that there are more and more who turn to a particular dollar to avoid regulations in a market that has a wide exchange rate gap; the blue (or informal) dollar is sharp.

The dollar, the favorite investment of Argentines to guard against inflation

The North American currency is currently around $205.5 for purchase at informal value, according to the DolarHoy.com site. At par with said currency is the "crypto dollar", trading somewhat higher, close to $210.

How is this dollar defined? through stable currencies or "stablecoins". Stablecoins are cryptocurrencies that can eventually be converted into fiduciary currency, since their price is "pegged" to the value of an asset (such as gold or real estate) or a fiat currency, such as the dollar. They originated to reduce the volatility of value for the crypto asset exchange.

Their ultimate goal is to provide a refuge to investors, regarding the crypto industry, in times of volatility. Some of them are not even paired to another asset, but are directly controlled by algorithms to keep their price stable.

Stablecoins are cryptocurrencies that can eventually be converted to fiduciary currency, since their price is "anchored" to the value of an asset or fiat currency such as the dollar.

Today, the top stablecoins offered in the AR$/US(informal) pair are selling for roughly $211.10 to buy, according to figures from CoinMonitor.

Market crash, opportunity for stablecoins?

After reaching all-time highs (ATH) above $68,500 a few months ago, the value of Bitcoin, Ethereum and the rest of the tokens suffered a resounding collapse and practically the entire ecosystem was swept away.

The BTC is trading at $42,728.47 and in the last 24 hours the price variation of the digital currency was -8.95%. On the Ripio cryptocurrency purchase and sale platform, the BTC reaches the value of $8,880,681.31 in pesos for purchase and 8,670,481.83 for sale, with a variation of -1.71% Market capitalization of Bitcoin is $808,482,471,387 and 18,921,400 BTC circulate.

For this reason, at a time of volatility in the crypto world, stablecoins are consolidated as an option to dollarize savings, reducing the risk of suffering significant losses.

Tether (USDT) is one of the top stablecoins on the market

Dólar cripto vs dólar blue: ¿a cuánto cotiza cada uno y cuál conviene comprar?

Faced with the fall of current cryptocurrencies, crypto dollars – digital currencies such as DAI (DAI), Tether (USDT) and USD Coin (USDC), which trade at par with the greenback – advanced in the last hours in the main operating services or "exchange":

Others such as Binance USD, a stablecoin issued by the main global crypto trading platform Binance, are trading a little lower; in the case of BUSD, it is around $204. To name other lesser names, Pax Dollar (USDP) is at $204, while TrueUSD (TUSD) is at $205, according to CryptoMarket.

Thus, for these hours the following tools of the digital economy acquire a marked role:

In this way, Argentines no longer look for "trees" in the Florida pedestrian street to get bills with the face of Washington, but instead resort to these platforms to protect their savings and, why not, win with the change.

How to trade

Both exchanges and P2P platforms must comply with certain security regulations such as KyC (Know Your Customer) and anti-money laundering laws. Therefore, to register you will have to:

Once this process is done, you have to wait for the validation of the identity. It can be instantaneous (in the case of Argentine platforms, since they have a direct connection with the systems of the National Registry of Persons, RENAPER); or we will have to wait (a few hours or a couple of days for foreign services)

In all cases, the functionalities will be limited until the user's identity is verified. And there will be different ways to trade depending on each platform:

  • P2P platforms: the exchanges are between people, therefore:
  • maneuvers

    In addition to the sale of digital assets, these platforms offer some methods to make savings yield by taking advantage of price differences

    mash 4.0

    It is based, neither more nor less, on buying tickets at the official price and "bursting" them (or making them "purée") in the informal market, profiting from the exchange rate gap.

    Version 4.0 of this operation consists of a few more steps. A bitcoin expert tells iProUP that with cryptocurrencies it is done as follows:

    "Surely you go out with at least 20% more pesos, since most use a price between that of cash with liquidation and blue," says a source consulted.

    The same source reveals that you can buy today and wait to sell on Sunday, since the dollar market does not operate and the crypto does, so the supply and demand after a rising week close will make a good difference .

    Roller 4.0

    The "roll" was an operation that marked a boom last year, when the Macri government set the first stocks that limited purchases to $10,000 per month. It means more sophistication and also higher profits.

    In this case:

    Quickly, the Central Bank and the National Securities Commission broke the operation.

    New technologies allow savings to be dollarized without going through banks

    Currently, new technologies offer another way to "roll", through gift cards, which are quoted in dollars.

    Levar describes a maneuver that is growing among Argentines:

    "In addition, you can invest without money: you publish in Mercado Libre and once you close the sale, with those funds you buy the card in Airtm and you pass the code to the buyer," says the local representative of the platform that already has more than 15,000 active users in the country.

    In this way, taking into account the commissions, about $22 are earned (the commission of 13% of sales in Mercado Libre must be deducted) for every $100 used each time the loop is repeated. Being a dynamic market, prices fluctuate all the time.

    "There is a lot of demand in Mercado Libre for these cards," warns Levar, adding that the operation is so popular on the platform that it already has its own name: it is not called "rolling", but rather "cycling" the funds.

    Counted with liqui 4.0

    Sophisticated savers surely check the "conta con liqui" price every day, which arises from buying shares of a company (with pesos) in Argentina and selling them (in dollars) abroad.

    It is a legal way to dollarize without touching the quota. In general, a better price is achieved than that of the blue and the funds remain outside the country.

    In version 4.0, instead of shares it is possible to buy:

    "Crypto Counted"

    In the first case, you simply have to enter an exchange and acquire "stable" coins. They are obtained at a value close to blue and among them are, for example, these three: DAI, USD Coin (USDC) or Tether (USDT).

    Once the currencies are obtained, they can be stored in the wallet offered by the exchange (the latter can be, for example, SatoshiTango, Bitso or BuenBit).

    The most familiar users opt for the so-called "non-custody" wallets, in which the account data is not held by a third party (as in the previous case), although it is impossible to recover the two keys to operate:

    Those who choose this option find alternatives such as Status, MetaMask or Argent that allow access to decentralized applications (Dapps) that provide different types of investments.

    Status is a crypto wallet that allows you to use DeFi protocols privately

    "Counted with balance"

    To have "cash" abroad, you must first have an account in an entity in another country, such as Dukascopy, a Swiss digital bank that offers:

    The requirements to register are to have an Argentine passport, fill out a form and verify data in a video call with a bank operator. Then, a P2P service is used, such as the Argentine Saldo.com.ar, the American PaxFul.

    Dukascopy allows you to obtain a prepaid card from abroad in which to deposit your PayPal balance or Bitcoins

    In this way, the user must enter the amount of pesos to exchange (you can use bank and fintech accounts) and transfer them to an account in Europe. The system is responsible for finding people who buy those pesos and deposit their equivalent in euros.

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    "What we do is connect people who are going to transact digital balances. 100% of the operations are covered. If something were to happen, we respond. The user does not worry about security or exchanges," Pablo Reyes tells iProUP , founder and CEO of Saldo.com.ar.

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