The revolution marked the end of Liberal Party rule in Paraguay and started the ascendancy of military dictatorships that lasted for more than half a century.
"[2] After armistice was signed on June 12, 1935, President Eusebio Ayala quickly dismissed many soldiers from the army and due to the economic recession they were left unemployed, many of them staying in Asuncion in search of better opportunities.
Worried about the rise Estigarribia, colonel Franco started a campaign against him, accusing him of military mistakes and failing to capture Santa Cruz de la Sierra.
During the night of February 16 troops led by lieutenant colonels Federico Wenman Smith and Camildo Recalde occupied Asunción.
[6] Franco's supporters came from those who hated the rule of Liberal politicians and the large landowners – war veterans, students and peasants, uniting all kinds of political persuasions, from socialism to nationalism.
[8] Franco's government defined itself as being opposed to the previous Liberal era, but it lacked a unified vision for what it stood for and what it wanted to achieve.
To pacify the revolutionary strikes, land seizures and unrest in army, on March 10, 1936, Franco issued Decree 152 by which he forbade all political parties and proclaimed that February revolution will follow the totalitarian regimes of Europe.
This March 10, 1936 law was drafted by the Minister of Interior Gomes Freire Esteves, who was a fascist sympathizer and in 1915 had led a revolt against President Eduardo Schaerer.