A South American nation is on the path to becoming a cryptocurrency champion in the region.
Bolivians now have the opportunity to invest in digital currencies as one of the country’s leading financial institutions custodial service dedicated to Tether’s stablecoin, USDT.
Bolivia Adopts Crypto
Bolivia, a country known for its diverse culture, is the latest South American state to adopt cryptocurrency.
One of the largest banks, Banco Bisa, recently opened a custody service exclusively for Tether. This marked the entry of cryptocurrency into the country’s financial sector. It became the third neighbor of Brazil and Argentina to embrace digital assets.
Bolivia’s Banco Bisa will launch custody services for executives #stablecoins $USDT.
Customers can buy, sell and transfer the coin. https://t.co/RCGZs4MQpo
— fintech portal (@fintech_portal) October 28, 2024
The custodial service will enable Bolivians to trade USDT, allowing the bank’s customers to purchase, dispose of and store digital currencies in a secure and regulated environment.
Banco Bisa Vice President Franco Urquidi announced that the bank’s latest offering focuses on security to provide its customers with a safe environment to conduct their crypto trading.
Urquidi explained that every transaction must originate from and end in the bank’s accounts, stressing that this step ensures that there is control and supervision.
He added that Banco Bisa conducts a rigorous verification process for its customers.
Image: Eldeber.com
The government supports the new service
Bolivian financial regulator Agencia de Supervision del Sistema Financiero (ASFI) supported Banco Bisa in offering a crypto custody service.
ASFI representative Yvette Espinoza explained that the new service will greatly benefit Bolivians as it will give its citizens the opportunity to invest in the cryptocurrency market while adhering to the financial regulations put in place to reduce the risks associated with crypto.
It can be recalled that Bolivia banned the use of cryptocurrencies in 2014. Authorities have banned Bolivians from using currencies that are not regulated by the state.
Ten years later, state authorities changed their minds and decided to lift the ban so that Bolivians could embrace cryptocurrency in the same way it is being adopted worldwide.
The state-run Banco Central de Bolivia defended the change of position, saying the country wanted to join crypto regulations in Latin America and improve its economy by allowing new forms of investment.
Banco Central is joining the bandwagon
Apart from Bolivia, demand for cryptocurrency is increasing in other parts of South America.
Statistics show that the number of crypto users in the region increased by 16% in 2020, up from just 6% in 2017, an indicator that digital assets are gaining a foothold in South America.
For example, El Salvador, another South American country, recently decided to make Bitcoin its official national currency to boost its financial sector.
Featured image from Atlas21, chart from TradingView