The Central Bank of Bolivia (BCB) has officially lifted the ban on the use of “cryptocurrencies”, which prohibition was put into effect through Resolution 144/2020 of December 15th., 2020.
This historic move follows the enactment of a new Resolution of the Board Nº 082/2024 of the Central Bank of Bolivia issued on June 25th., 2024 that reaffirms the validity of Virtual Assets (cryptocurrencies and other digital assets), in line with the increasing global adoption of cryptocurrencies. We’d like to stress that, despite the fact that cryptocurrencies can now be traded, they are not considered as legal tender in Bolivia, reason why it is not mandatory to accept them as a means of payment.
This new legislation paves the way to technological and financial innovation in the country allowing entrepreneurs, investors and individuals to access an ever-evolving digital assets market. This shift represents a key opportunity to upgrade the financial system, attract foreign investment and boost the economic development.
Bolivia, that had been isolated from this global trend, has now become a strategic player ready to benefit from the transforming potential of cryptocurrencies, with a clear regulation for a safe and responsible crypto adoption. In spite of the measure, companies are not allowed, as of today, to use cryptocurrencies as currencies or securities within their accounting.
We believe that the near future will be crucial to evaluate this new landscape and to see how government and the private sector react before this new reality, but one thing is sure: cryptocurrencies are no longer a passing fad but a transforming force with the required potential to revolutionize the Bolivian economy. We can see how the region has entered a new era: crypto boom in Brazil with NU (digital bank), Argentina through the regular use of cryptocurrencies by individuals or the case of El Salvador adopting a cryptocurrency as the official currency (legal tender) of the country.
