According to Decrypt, Banco Bisa, one of Bolivia's largest banks, has introduced a crypto custody service, becoming the first regulated financial institution in the country to do so. The service, which supports only the stablecoin Tether (USDT), allows customers to buy, sell, and transfer crypto directly through their bank accounts. This move comes amid a weakening currency in Andean countries, with Bolivia experiencing its highest inflation rate in nearly a decade last month, increasing the demand for U.S. dollars.
Banco Bisa's vice president of business, Franco Urquidi, stated that the service would enable people to send money to relatives abroad. He emphasized that clients undergo a rigorous verification process, ensuring secure and reliable transactions. The service allows customers to store USDT indefinitely, transfer funds abroad, and facilitate payments for family members studying overseas. USDT, the largest stablecoin by market capitalization, is widely used by traders to enter and exit trades due to its stability.
It remains unclear whether Banco Bisa's service will be available for everyday transactions at local merchants, as the bank did not immediately respond to a request for comment. The service starts at 200 USDT with a daily limit of 10,000 USDT, and fees range between 35 bolivianos (US$5.07) and 100 bolivianos (US$14.48). Transfers to U.S. dollar accounts abroad incur a charge of 280 bolivianos (US$40.55).
Bolivia has been relatively quiet in terms of crypto adoption compared to other Latin American countries. Bitcoin miners are not as active in Bolivia as they are in Paraguay, and the reception of crypto assets is not as significant as in neighboring Brazil or Argentina. Additionally, Bolivia does not receive as much crypto via remittances as other nations in the region, according to Chainalysis.
