Bolivia is considering adding Tether’s USDT stablecoin to its national payment system, marking another step in the country’s shift from banning crypto transactions to allowing regulated use of digital assets.
Economy Minister José Gabriel Espinoza said at a press conference on Monday that the government is evaluating whether the USDT can circulate alongside the boliviano, the country’s fiat currency, and the US dollar.
The proposal remains under technical review, and the government has not published implementing rules or granted stablecoin legal tender status, local news outlet La Razón reported.
Officials are developing a framework for banks, digital wallets and payment providers, according to Espinoza. Any rollout would require stronger anti-money laundering controls, as Bolivia remains on the Financial Action Task Force’s gray list, exposing the country to increased scrutiny for flaws in its financial crime regime.
The proposal comes amid a surge in crypto adoption after Bolivia’s central bank lifted restrictions on transactions in June 2024. Central bank data shows crypto transaction volume rose from $46.5 million in the first half of 2024 to $294 million in the same period last year. Total transaction volume increased by 630% after restrictions were lifted, the central bank has said.
