Bolivia Turns to Crypto and Blockchain Under President Rodrigo Paz

• Bolivia launches blockchain-based contracts to eliminate corruption and automate public procurement under President Rodrigo Paz’s new crypto agenda.

• Corporations including Toyota, Yamaha, and BYD now accept stablecoins as payment, accelerating Bolivia’s entry into regional crypto finance.

Rodrigo Paz, elected with 54.5% of the vote, will assume the presidency of Bolivia on November 8. His administration sets a clear goal: to apply blockchain and cryptoassets as instruments for transparency and fiscal control within public institutions. The initiative reflects a shift toward digital governance designed to reduce corruption and strengthen citizen oversight.

The government plan proposes using smart contracts to automate public procurement. Each contract would be registered immutably on a blockchain network, removing discretion in spending decisions and ensuring that resources are allocated according to the law. The Christian Democratic Party, led by Paz, describes the project as a core strategy for transparent administration and administrative efficiency.

According to Paz, blockchain technology will not only modernize state operations but also redefine how public institutions handle accountability. Smart contracts could simplify legal processes, shorten adjudication times, and reduce opportunities for bribery. The reform treats digital systems as practical tools for transparency rather than abstract technological concepts.

Another key proposal involves a stabilization fund partially supported by cryptocurrencies. Citizens will be allowed to declare their digital holdings, integrating them into a national reserve that may serve to sustain the Bolivian currency during liquidity shortages. The plan responds to a prolonged dollar scarcity that has disrupted trade and imports across the country.

The Central Bank of Bolivia lifted its ban on crypto transactions in June 2024, enabling regulated exchanges and financial institutions to expand operations. Banco Bisa now offers custody for USDT, and firms like Toyota, Yamaha, and BYD accept stablecoins as payment.

Paz faces an economy under stress, but his crypto-oriented governance aims to merge technology, transparency, and financial stability through measurable, traceable, and lawful digital systems.