Bolivia’s Crypto Payments Soar 630% Since Lifting Ban

Bolivia has recorded a staggering 630% rise in domestic crypto payments in 12 months the country’s central bank Banco Central de Bolivia lifted the ban on digital asset transactions. According to the latest data from the banking regulator, over $430 million in transactions were recorded during that span across more than 10,100 crypto operations. From April to September 2024, the average monthly trades soared from $15.6 million to more than $294 million in the first half of 2025. 

May saw a record-high $88 million in transactions, many via stablecoins. In total, the volume of transactions processed hit $430 million since June, 2024. The report only recorded transactions on channels registered with the ASFI, leaving P2P payments outside the tally. The report is more than just statistics; it reflects the growing role of cryptocurrency in everyday payment, especially in countries with economic instability. 

Bolivia’s Oversight Move Makes Crypto Go Mainstream

The increase in domestic transactions follows Resolution 082/2024 that formally recognized digital assets in the country. It also allowed banks to supervise payments between users and exchanges. 

Bolivia extended the use of virtual assets to the public 9 months later, when monetary regulators allowed the YPFB to pay for fuel imports with cryptocurrencies due to dollar shortage. This is a significant move, as more government agencies will adopt digital assets as contingency tools in an economic crisis. The BCB said it would publish quarterly reports of exchange activities and partner with the tax authority, SIN, to integrate wallet analytics for accurate reporting. 

To ensure transparency and accountability, banks are to file daily reports on crypto outflows. In addition, it must maintain real-time screening against the Office of Foreign Assets Control sanctions list. However, they have been warned to exclude custodial wallets from the national deposit insurance scheme. 

Fiat Crisis, Others Responsible for the Rising Crypto Payments

Crypto transactions are on the rise in Bolivia because of the currency crisis. The Boliviano has depreciated massively due to falling Dollar reserves and high inflation. The currency has lost nearly half of its value on black markets despite monetary initiatives to stabilize the currency. This has prompted crypto-savvy users to turn into digital payments. Hair salons, merchants, ATMs, and even small businesses are adopting crypto payments. 

Since legalizing crypto payments in June 2024, banks have been allowed to support crypto transactions. They have created a regulated payment environment that will allow smooth crypto payments between users and exchanges, while safeguarding the interest of customers. Stablecoins now act as Dollar proxy when Boliviano and dollar-denominated services are inaccessible. 

Government Establishes Legal Framework and Literacy Campaign 

The Bolivian government advanced the framework in May in accordance with Supreme Decree 5384 to establish licenses for Fintech firms and crypto service providers. The decree properly defines tokenized assets, Blockchain, and custodial wallets. It also authorizes anti-money laundering controls in line with the GAFILAT guidance.

The BCB will also launch a national advocacy campaign to educate the citizens on the use of cryptocurrency. The campaigns will come in scheduled workshops that will cover price volatility, private-key management, and cyber fraud prevention. Combining regulation with advocacy will help prevent scams and also accelerate the growth of crypto in Bolivia. 

What’s Next for Bolivia?

Bolivia has shown that cryptocurrency can be woven into the daily life of users and act as a contingency tool in an economic crisis. The real-world utility of crypto has been confirmed in facilitating micro-payments and settlements. With robust frameworks already in place, Bolivia might just be the face of crypto payments in South America. 

Following its Resolution last year, the country should anticipate a Fintech evolution. More banks will onboard digital assets, and existing banks with virtual asset services will try to expand. Furthermore, more countries may follow Bolivia’s blueprint to ease crypto adoption.