Cryptocurrencies in Bolivia are legally recognized as "virtual assets" under Supreme Decree No. 5384, enacted in May 2025. These assets, along with blockchains and tokenized assets, are acknowledged, and Virtual Asset Service Providers (VASPs) are recognized. However, virtual assets are not considered legal tender. Following the lift of a crypto ban in 2024, Bolivia now operates under a regulated framework where banks are authorized to facilitate crypto transactions through established channels. Stablecoins have also been legalized via banks, though their use for general business payments is restricted. The Servicio de Impuestos Nacionales (SIN) is the primary tax authority responsible for general income tax administration in Bolivia. While the Banco Central de Bolivia (BCB) oversees broader financial regulations, including recent shifts in crypto policy, specific tax guidance for cryptocurrencies from SIN is still in development, meaning general tax principles currently apply. Bolivia operates a territorial tax system, meaning only income and gains sourced within Bolivia are subject to taxation. For individuals, there is no specific capital gains tax on crypto. However, profits derived from Bolivia-source crypto activities are generally subject to the standard personal income tax rate of 13%. Foreign-sourced crypto gains for individuals are untaxed. There are no distinctions based on holding periods for crypto assets, meaning no preferential rates or exemptions for long-term holdings. Standard Value Added Tax (VAT), typically around 13%, applies to purchases of goods and services made using cryptocurrencies, but its application to crypto trading remains unspecified. For corporate entities, business profits, including those from crypto mining and staking, are subject to a Corporate Income Tax (CIT) of 25%. While staking income for businesses falls under this 25% CIT, its treatment for individuals is unclear. Similarly, mining rewards are taxed as business income at 25% for corporations, though the deductibility of associated costs like equipment and electricity remains undefined. Decentralized Finance (DeFi) activities and Non-Fungible Tokens (NFTs) lack specific tax guidance and are likely treated under general territorial income rules. Both converting crypto to fiat currency and engaging in crypto-to-crypto swaps are considered taxable events if the gains are sourced within Bolivia. Bolivia's crypto tax landscape is actively evolving. A dedicated crypto tax framework is currently under development, building on the regulatory changes implemented after the 2024 crypto ban was lifted. Further specific rules are expected to emerge, potentially influenced by international cooperation, including assistance from El Salvador.
Tax Rates
| Effective individual rate | 13 |
| Capital gains tax | 0% for individuals, gains treated as territorial income |
| Income tax on crypto | 13% territorial tax on Bolivia-source crypto income, individuals largely exempt |
| Corporate tax | 25% on business profits including crypto mining and staking |
| VAT | Standard VAT ~13% applies to crypto-funded purchases, trading unspecified |
Activity Taxes
| Staking | 25% CIT as business income, individual treatment unclear |
| Mining | 25% CIT as business income, equipment and electricity costs deductible status unclear |
| DeFi | No specific guidance, likely follows general territorial income rules |
| NFTs | No specific tax guidance, treatment under general asset rules uncertain |
Taxable Events
| Crypto → Fiat | Taxable as territorial income if source is Bolivia-based |
| Crypto → Crypto | Taxable under territorial principles, no specific exemption identified |
Holding Period
| Holding period benefit | No holding period distinctions, no preferential rates or exemptions |
Sources