Gamepad — Gaming market, technology, information security, and politics

All Cyber security Financial technology Gaming market Politics Technology

The collapse of Paraguay's Ueno Bank has turned into a massive financial shockwave. After the Central Bank intervened on November 3 over solvency problems, roughly $2.8 billion in deposits were frozen, affecting millions of accounts and exposing deep vulnerabilities in the country's fast-growing digital banking sector.

By Monday, only about $335 million had been returned to more than 1.7 million depositors. The deposit guarantee fund is expected to cover only around 27% of the total deposits, leaving companies, public agencies and even the Conmebol waiting for a liquidation process that could take far longer than anyone wants.

The political and legal fallout is intensifying. Prosecutors are investigating former President Horacio Cartes and former central bank chief Carlos Carvallo, both in preventive prison, while seeking to freeze crypto assets in Luxembourg with help from authorities in the United States and Argentina. With public pension funds tied up in the wreckage, the race to recover the money is now a high-stakes test of trust for digital finance.

Ueno Bank collapse leaves billions stranded and public pension funds at risk in Paraguay

#fintech #banca-digital #paraguay #ueno-bank #crisis-bancaria #cripto

View detail →