Bolivia’s president-elect, Rodrigo Paz, has announced a plan to implement blockchain against corruption in Bolivia. The proposal focuses on radically reforming the country’s public procurement. This initiative is detailed in the Christian Democratic Party’s official 2025 government platform. Paz will take office on November 8th.
The core of the proposal seeks to apply distributed ledger technology and smart contracts to all state bidding. The main objective is to remove discretion from public purchasing. By automating these processes, the new government hopes to significantly reduce opportunities for bribery. Paz, who won the runoff election with 54.5% of the vote, inherits a strained economy. The country faces fuel shortages and strong pressure on the US dollar.
Simultaneously, the government plan includes a second bold proposal. A new foreign exchange stabilization fund will be created. Citizens will be able to declare their crypto assets into this fund. This mechanism seeks to regularize assets and capture foreign currency. The fund will be used to stabilize the national currency. It will also serve to pay for essential imports amid the dollar scarcity.
Paz’s platform defines this implementation of blockchain as a pragmatic anti-corruption tool. It is important to note that this is not an El Salvador-style adoption. There are no plans to adopt Bitcoin as legal tender. Nor does it seek to hold BTC in national reserves. The focus is strictly on government transparency and capitalizing the new fund.
This presidential move aligns with a modernization that was already underway. The Central Bank of Bolivia (BCB) lifted an operational ban on crypto transactions in June 2024. This decision authorized regulated electronic channels. A few months later, the central bank reported that average monthly digital asset trading had doubled.
Will Bolivia become the new crypto hub of South America?
The market has reacted positively to the modernization signals. In October 2024, Banco Bisa became the first Bolivian bank to launch USDT custody services for institutions. The dollar shortage also spurred the private sector. The state oil company YPFB explored using crypto for energy imports. Furthermore, major distributors of brands like Toyota, Yamaha, and BYD began accepting USDT.
The institutional approach was consolidated on July 31. The BCB signed a memorandum of understanding with El Salvador. In that document, they called crypto “viable and reliable”. Both nations pledged to cooperate on payment modernization policies. According to the BCB, crypto trading volume reached $46.8 million monthly. The year-to-date total as of June 30 was $294 million.
Rodrigo Paz’s presidency begins with a clear mandate for technological and economic reform. Although his stance is pragmatic and not “crypto-maximalist,” the payment modernization agenda is clear. Implementing block technology in public procurement will be a key test. The success of this measure could position Bolivia as a regional benchmark in using technology for governmental transparency.
