Bolivia’s shift on crypto policy was driven by one problem above all: a shortage of U.S. dollars. Alvaro Rosenblüth, treasury and exchange manager at Banco de Crédito de Bolivia, said the central bank removed its ban so citizens could use stablecoins as a substitute for dollars while the country continued to face foreign-currency scarcity under exchange controls.
Speaking at Merge São Paulo 2026, a conference focused on digital assets and financial infrastructure, Rosenblüth said Bolivia changed course after the central bank lifted the ban in June 2024, allowing private banks to facilitate operations involving digital assets. He said banks now offer USDT and other stablecoins. In his account, Bolivia moved from banning crypto in 2024 to seeing it become a standard tool by 2026, with a large share of international transactions now being handled through crypto rails.
Banks add USDT accounts and local-currency access
Banco de Crédito de Bolivia now offers USDT accounts aimed at international payments and remittances. Customers can also buy USDT with Bolivian bolivianos at a floating exchange rate. That places stablecoins in a more practical role inside the banking system, tied less to speculative trading and more to payment flows that need dollar-like liquidity.
The comments align with signals already issued by the government. In November, Economy Minister Jose Gabriel Espinoza said financial institutions would be allowed to offer cryptocurrency services. He also said stablecoins would “begin to function as a legal tender payment instrument.” The source material does not provide additional operational detail beyond that statement.
Compliance remains the biggest obstacle for banks
The policy reversal did not remove the banking sector’s core constraints. Rosenblüth said compliance is one of the main difficulties in this hybrid model, where regulated institutions must work with crypto assets while still meeting existing rules. Banks also need controls to make sure digital assets are not used for money laundering or terrorist financing.
Based on the available details, Bolivia’s crypto turn is being framed less as a technology experiment and more as a response to pressure in the foreign-exchange market. Stablecoins are being used as dollar proxies, with the clearest use cases centered on international payments, remittances, and bank account services, even as implementation remains tied to regulatory oversight.