Tech
Bolivia Lifts Bitcoin Ban, Legalizes Cryptocurrency Transactions for Banks
Bolivia’s central bank has decided to lift a ban on payments using Bitcoin and other cryptocurrencies imposed in 2014. The country aims to balance its economy while modernizing its payment systems. Bolivia has become the latest Latin American country to take a pro-crypto stance, even though Bitcoin or other cryptocurrencies have yet to be recognized as legal tender in the region. The central bank will also allow banks to process transactions in cryptocurrencies, a restriction that was implemented in 2020.
Bolivia’s New Position on Cryptocurrencies and Cryptocurrency Transactions
In a statement released Wednesday, the Central Bank of Bolivia announced that it would lift the ban on cryptocurrency payments in the country, including Bitcoin transactions. The decision was made in collaboration with the Financial System Supervisory Authority (Autoridad de Supervisión del Sistema Financiero) and the Financial Investigation Unit (Unidad de Investigaciones Financieras).
Second StatesmanBolivia’s national debt is expected to increase by $21.2 billion (approximately Rs 1,76,746 crore) between 2024 and 2029.
Bolivia’s central bank has decided to allow banks to use approved electronic channels and facilitate cryptocurrency payments. While Bolivia’s central bank has yet to recognize Bitcoin or other cryptocurrencies as legal tender, allowing these transactions could earn the country more remittances, as cross-border cryptocurrency transactions are instant and usually free.
In addition, Bolivia has taken measures to reduce its dependence on the US dollar, especially after the consecutive interest rate increases in recent months announced by the US Fed to address the post-pandemic economic crisis. As of July 2023, Bolivia as they say challenged the dominance of the US dollar by focusing attention on the Chinese yuan and the Russian ruble.
Other Latin American Countries Double Down on Cryptocurrency Investments
El Salvador became the first country in the world to legalize Bitcoin as a legitimate currency in September 2021. Salvadoran President Nayib Bukele is continuing efforts to convert the country into a completely pro-BTC region, where cryptocurrency-related businesses can set up shop. Brazil is another country that has taken pro-crypto measures in recent years.
Cryptocurrency prices on Indian exchanges
For the latest technology news AND reviewsFollow Gadgets 360 on X, Facebook, Whatsapp, Discussions AND Google NewsFor the latest videos on gadgets and technology, subscribe to our Youtube channelIf you want to know everything about top influencers, follow our internal channel Who is that360 ON User profile AND Youtube.
Character.AI introduces character calling functionality that allows users to “call” AI chatbots