Bolivia Embraces Cryptocurrency: Banco Bisa Launches USDT Custody Service

Jimmy Aki
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In a significant development for Boliva cryptocurrency in South America, Banco Bisa, one of Bolivia’s major banks, has launched a custody service for Tether’s USDT stablecoin.

New Opportunities for Clients

According to the announcement, this initiative by Banco Bisa enables clients to buy, sell, and transfer USDT quickly. Banco Bisa’s custody service for USDT aims to provide a secure environment for Bolivia cryptocurrency transactions.

Franco Urquidi, the bank’s vice president of business, said the new service will allow users to hold their assets, send them to relatives, and make cross-border payments.

He stated that customers will undergo a verification process to ensure safe transactions, stating, “Our goal is to give our clients peace of mind that their transactions are conducted safely.”

Yvette Espinoza from the Autoridad de Supervisión del Sistema Financiero (ASFI), Bolivia’s financial regulator, supported the bank’s initiative. She noted that this service helps clients conduct crypto transactions within a regulated framework, which minimizes the risks associated with unsafe dealings in the crypto market.

This support from the regulatory body indicates a broader acceptance of Bolivia’s cryptocurrency, which had once been sceptical about digital assets.

Historically, Bolivia has taken a strict stance on cryptocurrencies. In 2014, the country banned digital currencies, declaring them illegal.

The government argued that allowing unregulated currencies would threaten the national currency and could lead to financial losses for its citizens.

This policy reflected concerns about the risks posed by cryptocurrencies and the need to protect the Bolivian economy.

Evolving Landscape of Crypto Regulation

However, Bolivia has begun to soften its approach to cryptocurrency in recent months.
The central bank’s decision to lift the ban on Bitcoin and Bolivia cryptocurrency payments marked a turning point in the country’s relationship with digital assets.

Financial institutions can now engage in cryptocurrency transactions, creating new opportunities for businesses and consumers, similar to South Korea’s move for cross-border crypto transactions.

Despite these positive changes, Bolivia has not established a formal tax framework for cryptocurrency transactions. This absence of regulation could pose challenges in the future, especially as crypto trading continues to grow.

The country currently seems to be in a transitional phase, cautiously navigating the complexities of integrating cryptocurrencies into its financial system.

The launch of Banco Bisa’s custody service represents a significant step in this journey. By providing a secure platform for trading USDT, the bank is helping to facilitate a more stable and trustworthy environment for users.

This development reflects a broader trend across Latin America, where countries are increasingly embracing digital currencies as part of their financial ecosystems.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.