How a digital bank’s collapse toppled Paraguay’s president

Paraguay's digital bank, ueno, once a successful homegrown venture, underwent a sudden collapse that exposed a political crisis. Within just five days this week, the bank froze the savings of nearly 3 million customers, affecting over half of the country's population. President Santiago Peña attempted to resign but was overthrown by the impeachment process.

He was subsequently arrested and charged with breach of trust and administration for personal gain. His vice president, Pedro Alliana, was sworn in as the new president. The scandal has sparked public protests and harsh criticism from the opposition, who termed it as the biggest corruption scandal in Paraguay's democratic history.

Paraguayan economist and former finance minister Manuel Ferreira emphasized the severity of the case, stating, "This was a modern-day Bonnie and Clyde... They didn't rob us with a pistol, they robbed us with an app."