Paraguayan Digital Bank Collapse Sparks Crisis
The sudden collapse of Paraguays digital bank ueno has frozen millions of accounts and triggered a political crisis. Vendors struggle to recover funds and resume operations.
Paraguay's central bank placed digital lender ueno into resolution, freezing 3 million accounts and leaving merchants scrambling for alternatives. The collapse triggered the nation's biggest political crisis in more than a decade, halting business for roughly 80% of vendors at Paraguay's sprawling Mercado 4. The sudden failure exposes the vulnerabilities of fast-growing digital banking models operating with lax regulatory oversight.
