Bolivia’s state-run energy company YPFB has announced plans to use cryptocurrency to pay for energy imports, as the country grapples with a severe shortage of dollars and fuel. This move comes amid a significant decline in Bolivia’s foreign currency reserves, which has been exacerbated by years of decreasing exports of natural gas. The fuel crisis has led to long lines at gas stations and sporadic protests across the country.
A spokesperson for YPFB confirmed that the company has received government approval to implement a digital asset payment system to help meet the country’s growing fuel demands. “From now on, these cryptocurrency transactions will be carried out,” the spokesperson said, explaining that the initiative aims to support Bolivia’s national fuel subsidies, which are under strain due to the shortage of hard currency.
Although YPFB has not yet begun using digital currency for energy imports, it plans to do so in the near future. Bolivia, once a net energy exporter thanks to its large natural gas reserves, has seen its reliance on energy imports increase as domestic gas production has declined due to a lack of significant new gas discoveries.