Why do Argentinians prefer the US Dollar to the Argentinian Peso?

Argentinians prefer the US Dollar over the Argentinian Peso mainly due to economic instability and high inflation rates in Argentina. The Peso has experienced significant devaluation over the years, eroding trust in the local currency’s ability to store value. In contrast, the US Dollar is viewed as a stable and reliable currency, often used as a safeguard against inflation and currency depreciation. This preference is further reinforced by historical financial crises in Argentina, which have led people to seek more stable financial instruments. Additionally, the informal economy often uses dollars for transactions due to restrictions on the foreign exchange market, fostering a parallel market that favors the dollar.