Tether USDT Stablecoin Seen On Bolivian Store Price-Tags

Tether CEO Paolo Ardoino shared photos of items priced in USDt, a stablecoin, at a Bolivian shop, Duty Fly. The shop's notice stated that prices were set in USDt, with a daily reference price informed by the Central Bank of Bolivia and Binance. Customers could pay in Bolivianos or US dollars, with the USDt used to establish the exchange rate. The use of USDt as a pricing benchmark is unclear, but reports suggest it's gaining popularity. A major local bank, Banco Bisa, began a custody service for USDt in October 2024, allowing clients to buy, sell, and transfer the asset. Bolivia's economy is in decline, with usable foreign reserves falling to $1.98 billion in December 2024. The country has a thriving black market for dollars, with a street rate of around 10 Bolivianos per dollar. The official exchange rate is approaching 7 Bolivianos per US dollar. The Bolivian government spends millions importing diesel and gasoline, yet faces nationwide shortages, with a local Consumer Price Index inflation rate of 14.6% as of March 2025.