Bolivia mulls allowing USDT for daily payments

Bolivia is evaluating a regulatory framework that would allow Tether’s USDT stablecoin to circulate “as just another currency,” Economy and Public Finance Minister Jose Gabriel Espinoza told a press conference on Monday. The proposal would permit USDT to be used for everyday transactions, savings and trade without relying only on cash or traditional bank services.

If adopted, the rules would recognize USDT for payments and other financial uses. Espinoza said any rollout must include strong anti-money laundering controls and a robust regulatory framework because Bolivia remains on the Financial Action Task Force’s grey list.

The plan follows the lifting of Bolivia’s ban on cryptocurrencies in 2024. Since President Rodrigo Paz Pereira took office in late 2025, his administration has pursued measures to integrate digital assets into the formal financial system and allow banks to offer crypto-related products, including stablecoin-based accounts and services.

Bolivia has faced a prolonged shortage of U.S. dollars after abandoning a long-standing exchange rate arrangement earlier this year. Officials maintained an official rate of 6.86 bolivianos per dollar for purchases and 6.96 for sales from 2011 until recent months, when pressure on foreign-exchange reserves ended that peg. The shortage helped expand a parallel foreign-exchange market where dollars traded at a large premium to the official rate, raising demand for dollar-denominated alternatives.

Stablecoins such as USDT have been used increasingly for payments as residents seek ways to hold and transfer value in dollars without access to physical notes. USDT is the largest stablecoin by market value, with capitalization above $180 billion. Bolivia recorded about $14.8 billion in crypto transaction volume over a recent 12-month period.

Officials say the framework under review would need to address payments infrastructure, custody rules, consumer protection and measures to prevent illicit finance. Authorities plan to coordinate with financial institutions and oversight bodies while drafting the rules. No implementation timeline has been provided.