Bolivia -- Licensing Requirements Regulatory Overview

Bolivia has shifted from a complete ban on cryptocurrencies to a regime of controlled regulation, so the regulator no longer issues advisories reiterating a ban but instead implements new regulatory frameworks.

**Investigations and arrests related to fraud or pyramid schemes that *utilize* cryptocurrencies:** These are often led by the police and public prosecutor's office, with the primary violation being fraud or illicit financial schemes, rather than simply possessing or trading crypto.

**Regulator/Agency Involved:** Policía Boliviana (Bolivian Police), Ministerio Público (Public Prosecutor's Office), ASFI (Autoridad de Supervisión del Sistema Financiero) often issues warnings preceding or accompanying these actions.

**Entities Targeted:** Individuals and groups operating fraudulent pyramid schemes, often referred to as "financieras digitales" (digital financial companies) or "inversiones digitales." Specific names that have appeared in the news include "G7 Inversiones," "Omega Pro," "Mind Capital," "Financiera Digital," among others.

**Violation Type:** Primarily **fraud, pyramid scheme (estafa con promesa de rendimientos extraordinarios), illicit financial intermediation**, and sometimes money laundering. Cryptocurrencies are often a tool used in these schemes to obscure transactions or give an appearance of legitimacy/innovation.

**Penalty Amount:** Not applicable as a direct "penalty for crypto violation." Penalties are sought under existing criminal laws for fraud, which can include imprisonment and restitution to victims. Specific fines for the *crypto aspect* are not typically levied.

**Date:** Various actions occurred throughout 2022 and 2023.

For instance, "G7 Inversiones" was prominent in mid-2022.

"Omega Pro" and similar schemes saw crackdowns in late 2022 and early 2023.

**Outcome:** Arrests of perpetrators, freezing of assets (where possible), public warnings against these types of investments, and ongoing legal proceedings for fraud. The use of cryptocurrencies in these schemes often complicates asset recovery due to their decentralized nature.

**News report on G7 Inversiones (2022):**

*El Deber:* Gobierno advierte sobre estafas con criptomonedas y "G7 Inversiones" es el foco

**News report on financial scams involving crypto (2023):**

*La Razón:* ASFI y el Gobierno advierten de estafas por inversiones con criptomonedas; la Policía ya investiga denuncias

**ASFI Public Warning (General on risks of crypto and pyramid schemes):**

*ASFI Nota de Prensa N° 004/2023:* ASFI reitera que el uso de criptoactivos no está autorizado en Bolivia y advierte sobre estafas piramidales

URL: https://www.asfi.gob.bo/index.php/sala-de-prensa/notas-de-prensa/2497-asfi-reitera-que-el-uso-de-criptoactivos-no-esta-autorizado-en-bolivia-y-advierte-sobre-estafas-piramidales.html (Spanish - issued Feb 2023, relevant to the period)

**Regulatory Reference:** **Resolución del Directorio del BCB No. 044/2014** (Resolution of the BCB Board No. 044/2014), issued on May 6, 2014.

**Key Provision:** This resolution explicitly prohibits the use and commercialization of any currency or coin that is not issued and controlled by the national monetary authority within the national financial system. This effectively bans cryptocurrencies like Bitcoin, Ethereum, and others from being used as means of payment or stored value within the formal financial system.

**Reasoning:** The BCB cited concerns about the lack of regulation, security, and stability, as well as the potential for illicit activities like money laundering and fraud.

As of April 2026, Bolivia’s financial institutions are free to buy and sell dollars at freely chosen prices, superseding any older archived BCB resolution on fixed rates.

Leyes.org.bo - Resolución del Directorio del Banco Central de Bolivia Nº 044/2014

Since 2014, the BCB and the **Autoridad de Supervisión del Sistema Financiero (ASFI)** (Authority for the Supervision of the Financial System) have periodically reiterated this prohibition and issued warnings against the use of cryptocurrencies.

**ASFI's Role:** ASFI supervises financial institutions in Bolivia. Consistent with the BCB's resolution, ASFI does not authorize or regulate any entity dealing with cryptocurrencies.

**Required Licenses for Exchanges, Custody Providers, and Payment Processors:** **None exist.** Since the underlying activities of operating a cryptocurrency exchange, providing custody for non-sanctioned virtual assets, or processing payments with them are prohibited within the formal financial system, there is no legal framework for their licensing.

**Registration vs. Licensing Regime:** **Neither applies.** The regime is one of prohibition, not regulation, for private crypto assets.

**Key Requirements (Capital, AML/KYC, Local Presence):** These are **not applicable** for cryptocurrency businesses, as such businesses are not formally recognized or permitted. Any entity attempting to operate these services would be doing so outside the regulated financial system and potentially in violation of the BCB's resolution.

**AML/KYC:** While not required for crypto businesses due to the ban, all *licensed* financial institutions in Bolivia are subject to strict AML/KYC regulations under the ASFI framework and laws like Ley N° 004 de Lucha contra la Corrupción, Enriquecimiento Ilícito e Investigación de Fortunas "Marcelo Quiroga Santa Cruz" (Anti-Corruption Law).

Bolivia now has an application process for banks and authorized entities to offer cryptocurrency exchange, custody, and payment services, as evidenced by Banco Bisa’s licensed USDT custody product and the Ministry of Economy’s November 2025 authorization for all banks to offer crypto services.

**Current State:** Bolivia maintains a strict prohibition on cryptocurrencies that are not issued or regulated by its central bank, primarily for financial stability and consumer protection reasons.

**Operating in Bolivia:** Any individual or entity engaging in the business of cryptocurrency exchanges, custody, or payment processing in Bolivia does so outside the regulated financial system and potentially faces legal risks.

**Future Outlook:** While Bolivia's stance has been consistent, the global landscape of cryptocurrency regulation is rapidly evolving. It's always advisable for interested parties to monitor updates from the Banco Central de Bolivia and ASFI for any potential changes in policy, though no immediate shift is anticipated.

**Resolución de Directorio N° 001/2014 del Banco Central de Bolivia (BCB)**

**Content:** This resolution explicitly prohibits the use of "any type of currency that is not issued and regulated by the state." It specifically warns the public that virtual currencies, such as Bitcoin and others, are not legal tender in Bolivia and are not backed by the state. It also prohibits financial institutions regulated by ASFI from using, operating with, or commercializing these virtual currencies.

**URL:** While a direct, permanent link to the exact resolution PDF on the BCB site can sometimes be challenging due to site architecture changes over time, its existence and content are widely referenced by the BCB itself and ASFI.

ASFI often issues warnings reiterating the BCB's stance: https://www.asfi.gob.bo/

A press release from the BCB from January 2014 clearly states this: https://www.bcb.gob.bo/?q=node/1330 (This press release explicitly mentions the "Resolución de Directorio N° 001/2014" and its content regarding the prohibition).

Stablecoins are **not officially classified** as e-money, payment tokens, or securities within the Bolivian regulatory framework because they fall under the general prohibition of unauthorized virtual currencies. From the official perspective, they are unauthorized digital assets.

**Not applicable.** Since stablecoins (and all cryptocurrencies) are prohibited from being used or commercialized by regulated entities and are not recognized as legal tender, there are no prescribed reserve requirements for them.

**Not applicable.** Issuing stablecoins for use within Bolivia's financial system by regulated entities would be in violation of the BCB's resolution. There is no licensing regime for stablecoin issuers because the activity itself is not permitted.

**No legal recognition or protection.** As stablecoins are not recognized as legal tender or regulated financial instruments, any redemption rights associated with them would not be legally enforceable under Bolivian financial law. Users engage with them at their own sole risk, outside the official financial system.

**Not applicable.** The prohibition is broad and applies to all types of virtual currencies, regardless of their backing mechanism (fiat-backed, crypto-backed, or algorithmic). There are no specific rules for algorithmic stablecoins because they are implicitly covered by the general ban.

Bolivia has **not announced any concrete plans** or initiatives for developing a Central Bank Digital Currency (CBDC). Given the BCB's very conservative stance on private digital currencies, any potential future CBDC would likely be the only officially recognized digital form of the Bolivian Boliviano, further reinforcing the prohibition on private stablecoins.