How to Save in Dollars from Colombia

TL;DR: The Colombian peso is a volatile, commodity-linked currency that has traded well above 4,000 per dollar during stress periods, while inflation ran 11.74% in 2023 before easing to 6.61% in 2024. Colombians can get dollar exposure through bank and brokerage products (regulated, but with minimums and fees), exchange houses (for cash and travel), accounts abroad (powerful, but paperwork-heavy), or a digital dollar wallet (phone-only setup, 24/7 access, you hold your own keys). Each path has real tradeoffs.

Key Takeaways:

• Colombia’s inflation reached 11.74% in 2023, then eased to 6.61% in 2024 as rates stayed high and the peso strengthened.
• The peso is a freely floating, oil-linked currency that has swung above 4,000 per dollar in stress periods, making currency risk the main reason to hold dollars.
• Bank and brokerage dollar products are regulated but can carry minimums, fees, and market-hour limits, and some track the dollar indirectly.
• Exchange houses serve cash and travel needs within foreign-exchange rules, but are not built for parking long-term savings.
• Digital dollar wallets need only a phone, have no minimum, and let you hold your own keys, but carry issuer and self-custody risk.

Colombia’s challenge is less about runaway inflation and more about a currency that moves a lot. Inflation did climb to 11.74% in 2023, which is high by Colombian standards, before cooling to 6.61% in 2024 as the central bank held rates high and the peso firmed up. But the bigger story for savers is volatility: the peso is a freely floating, commodity-linked currency, and it has swung above 4,000 per dollar during periods of stress.

For a Colombian saver, that swing is what makes dollar exposure attractive. When the peso weakens, money held in pesos buys fewer dollars, fewer imported goods, and less travel. This is the practical side of currency devaluation, even in a country where inflation is not at hyperinflationary levels.

This guide covers the main ways Colombians get dollar exposure today: bank and brokerage products, exchange houses, accounts abroad, and digital dollar wallets. With honest costs and tradeoffs for each.

Disclosure: This guide is published by Arca, a digital dollar wallet provider. We compare all available options honestly, including their drawbacks. Where we reference Arca’s product, this reflects our own service.

Why the Peso’s Swings Matter for Savings

The peso’s value is tied closely to oil, which is a major Colombian export, as well as to global risk appetite, US interest rates, and domestic politics. When any of those turn, the peso can move fast. That is why a saver who keeps everything in pesos is, in effect, making a bet on commodity prices and global conditions, whether they intend to or not.

Inflation adds a second layer. Even at the eased 2024 rate of 6.61%, prices still rise meaningfully each year, and inflation affects savings over time. Colombia is not usually among the countries with the highest inflation right now, but the combination of moderate inflation and a swingy currency is enough to make many people want a portion of their savings in dollars.

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The Main Ways to Get Dollar Exposure from Colombia

1. Bank and Brokerage Dollar Products

Some Colombian banks and brokerages offer dollar-denominated accounts or dollar-linked investment products.

How it works. You open the account or buy the product, fund it in pesos, and hold dollar exposure through the institution.

Costs. Minimums, management fees, and spreads can apply. Some products track the dollar indirectly rather than holding it 1:1, and trades happen during market hours.

Tradeoffs. Regulated and integrated with the financial system. But minimums and fees raise the barrier, and indirect products are not a simple dollar balance you can spend or send.

2. Exchange Houses (Casas de Cambio)

Exchange houses and banks sell foreign currency within Colombia’s foreign-exchange rules, mainly for travel and transfers.

How it works. You buy dollars in cash or on a travel card at the market rate, then hold them yourself.

Costs. The cost sits in the spread between buy and sell rates. Cash transactions can also fall under foreign-exchange reporting rules.

Tradeoffs. Useful for travel and specific needs. But cash is not a practical vehicle for long-term savings, given storage risk and the spread.

3. Accounts Abroad

Some Colombians open accounts with US or international platforms to hold dollars directly.

How it works. You set up an account with an international brokerage or banking platform that accepts Colombian residents, then fund and hold dollars there.

Costs. Funding involves an FX conversion and transfer fees, with possible minimums and tax-reporting obligations.

Tradeoffs. Flexible and direct once established. But onboarding paperwork, transfer friction, and reporting requirements raise the barrier.

4. Digital Dollars

Digital dollars, specifically dollar-denominated digital assets like USDC and USDT, are the newest path, and Colombia has been one of Latin America’s more active adopters.

How it works. You use a digital dollar wallet on your phone to hold dollar-denominated value. Each digital dollar is designed to track the US dollar 1:1, backed by reserves of cash and short-term US government debt. To convert pesos, you use a local exchange. For background, see what digital dollars are.

Costs. Wallet fees vary by provider. The conversion rate from pesos depends on the on-ramp, though most price close to the market (the TRM benchmark is a useful reference). Arca-to-Arca dollar sends carry no network fee.

Tradeoffs. No brokerage or US address needed, just a phone, so you can effectively hold dollars without a US bank account. Available around the clock. You hold your own keys, so no institution can freeze the balance, but losing your seed phrase means losing access. Digital dollars are not government-issued money and carry issuer-specific risks. Colombian tax-reporting rules apply to crypto activity, so keep records, and understand the difference between custodial and non-custodial wallets before choosing a provider.

Comparing the Options

No single method wins on every factor. Each is a different balance of directness, cost, access, and risk.

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A Real Scenario: A Saver in Medellin

The following scenario is illustrative. It is based on common patterns reported by Colombian savers and freelancers, not a specific individual.

A freelance video editor in Medellin earns part of her income from foreign clients and saves toward a down payment. She kept everything in pesos, reasoning that inflation was easing toward 6%. What she hadn’t planned for was the peso’s swings. During one stretch the peso weakened past 4,000 per dollar, and her savings bought noticeably fewer dollars and fewer imported tools for her work, even though local prices hadn’t jumped.

She started keeping part of her savings in digital dollars, converting pesos at rates close to the market. The dollar-held portion tracked the dollar 1:1, so it held its global purchasing power through the peso’s swings. The balance is hers, reachable from her phone at any hour, with no account minimum and no product tracking the dollar only indirectly. When the peso strengthened again, she still valued having a stable base she could send or spend instantly.

Getting Started

If you’re considering saving in dollars from Colombia, here’s how to start with a digital dollar wallet:

1. Download Arca on your phone. Setup takes about 30 seconds. No brokerage account or US address required.
2. Convert pesos to digital dollars. Use a local exchange at rates close to the market.
3. Hold dollars under your control. Your digital dollars sit in your wallet, secured by keys only you hold.
4. Send or save on your terms. Keep your dollars as long as you want, or send them to any compatible wallet in seconds.

What It Comes Down To

Colombia’s main savings risk isn’t runaway inflation, it’s a currency that can swing hard against the dollar with oil prices and global conditions. With the peso reaching above 4,000 per dollar in stress periods, savers who held only pesos saw their global purchasing power shrink even as local inflation eased toward 6%.

You have several ways to hold dollar value. Bank and brokerage products suit people who want regulated exposure inside the system. Exchange houses suit travel needs. Accounts abroad suit people willing to do the paperwork. A digital dollar wallet suits people who want a direct 1:1 dollar balance, phone-based, with their own keys. For more on the hidden costs of moving money, see our guide on exchange-rate markup and the blog on why no-fee transfers still cost money. For how protections for digital dollar holders are evolving under US law, see our guide on the GENIUS Act.

Ready to hold your own dollars? Get started with Arca and set up your dollar wallet in 30 seconds.