Paolo Ardoino, the CEO of Tether, recently posted pictures showcasing products available for purchase in Bolivian airport stores using USDT, the stablecoin. This hints at an uptick in the informal usage of cryptocurrency in light of the current state of Bolivia’s economy.
In a Saturday post, Ardoino displayed items priced in Bolivian USDT, including sunglasses and candies. One image indicated that the pricing was indeed in USDT.
“Our products are priced in USDT (Tether), a stable cryptocurrency whose reference value is updated daily by the Central Bank of Bolivia, based on rates from Binance,” the notice to customers stated.
Customers have the option to pay in local currency, Bolivianos, or in US dollars. In this scenario, USDT is used to set the exchange rate between dollars and Bolivianos.
Items and announcements were showcased at Duty Fly, an airport shop that offers tax-free goods. Neither Duty Fly nor Tether has commented on the situation.
It’s unclear in what ways USDT is becoming a standard for pricing across Bolivia, but other reports indicate that the stablecoin is gaining a substantial foothold there. In late October 2024, Bangkok Visa, a significant local bank, began providing custody services for USDT, allowing clients to trade assets through the bank.
Bolivia’s economy is currently facing serious challenges. The country’s foreign reserves have plummeted, amounting to only 2.9 months’ worth of imports, a stark decline from $15 billion in 2014 to $198 billion by December 2024. Of this, less than $50 million was cash, with the remainder held in gold.
The country also has a vibrant black market where dollar rates soar, reaching around 10 Bolivianos per dollar as of mid-2024, while the official exchange rate hovers near 7 Bolivianos for a US dollar.
The Bolivian government struggles to afford the $56 million per week needed to import diesel and petrol, which still leads to widespread shortages. Recent inflation has also affected the local consumer price index, registering 14.6% as of March 2025.
One of Ardoino’s images illustrated a pack of Oreos priced between 15 and 22 USDT, showcasing the sharp decline in purchasing power of the local currency.
