The Cuban Convertible Peso (CUC) was introduced in 1994 as part of Cuba’s dual currency system to combat the dollarization of the economy and was primarily used by tourists. Its value was pegged to the US dollar, making it a rare example of a currency intended to coexist directly with another nation’s currency. This dual currency system created a unique economic landscape where the CUC was used alongside the Cuban Peso (CUP), the local currency used by citizens for everyday transactions.

Interestingly, the CUC became a symbol of Cuba’s attempt to balance its socialist ideals with the need for foreign currency. However, the complexity of maintaining a dual currency system brought about significant economic challenges. In late 2020, Cuba announced the unification of its dual currency system, effectively phasing out the CUC by 2021, marking the end of an era in Cuban monetary history. This transition aimed to simplify monetary policy and foster economic growth, paving the way for more straightforward economic planning and operations.