Central Bank of Bolivia enables the use and trade of cryptocurrencies in the country – DiarioBitcoin

According to the president of the entity, the measure seeks to ensure that Bolivia does not isolate itself from the technological changes that are occurring in the world, which is why the ban implemented years ago is reversed.

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• Bolivia allows the trading and use of cryptocurrencies
• The Central Bank issued a measure that reverses the ban implemented years ago
• The measure seeks to ensure that Bolivia does not isolate itself from the technological changes that are occurring in the world.
• However, the Central Bank reiterates that the only legal tender is Bolivian
• Policies and measures will also be implemented to avoid acts of illicit nature with these assets.

He Central Bank of Boliviathe state entity responsible for the monetary policies of the South American country, reported that the use of virtual assets or cryptocurrencies will be allowed for commercial operations, this in order to support the local economy, thus reversing a ban implemented years ago.

Bolivia allows cryptocurrency trading

The announcement in question was made by the president of the central bank, Edwin Rojas, this through a press release issued on the entity’s website. The official alleged that in coordination with the Financial Investigations Unit (UIF) and the Financial System Authority (ASFI)it was decided to annul resolution 144, originally implemented in 2020, which prohibited the trade and use of digital currencies.

According to Rojas, the measure seeks to ensure that Bolivia does not isolate itself from the technological changes that are occurring in the world, which is why it is intended “contribute to commercial exchange” of cryptocurrencies.

In this regard, Rojas assured that “andhe BCB, within the framework of its policies, has continuously promoted the modernization of the national payment system and the development of the payment infrastructure, enabling with its actions the adoption of technological innovations and new payment schemes, currently becoming a regional benchmark in terms of interconnection, interoperability and digital financial inclusion, promoting active and equal participation of banking and non-banking entities, favoring the democratization of financial services.”

Precautions will also be implemented

Although the new regulations enable the use of electronic channels and instruments for the purchase/sale of cryptocurrencies, the central bank He also took advantage of the space to warn that he will monitor commercial operations to avoid “possible suspicious operations linked to legitimation of illicit profits and financing of terrorism.”

Within the framework of the above, the authorities “they will make the pertinent regulatory adjustments to help prevent transactions with virtual assets from being used by criminal organizations,” indicates the statement.

Finally, the institution makes it clear that although the measure seeks to open commercial channels, “The only legal currency in the country is the Boliviano”, as established by the laws currently in force. Therefore, digital currencies cannot be treated like cash and the population is not obliged to receive them as a means of payment for products and services.

Article by Angel Di Matteo / DailyBitcoin

Picture of Unsplash

WARNING: This is an informative article. DiarioBitcoin is a media outlet, it does not promote, endorse or recommend any particular investment. It is worth noting that investments in cryptoassets are not regulated in some countries. They may not be suitable for retail investors as the entire amount invested could be lost. Check the laws of your country before investing.