- Bitfinex receives license to operate in El Salvador’s cryptocurrency market.
- The country established a framework to issue Bitcoin-backed bonds.
- El Salvador remains committed to embracing blockchain technology and cryptocurrencies.
The country of El Salvador, located in Central America, has demonstrated a steadfast commitment to and prominent achievements in the realm of cryptocurrency.
Recently, Bitfinex Securities took to their Twitter account to announce that they have been granted a license to operate in El Salvador, which has made history as the first country to legalize Bitcoin (BTC) as legal tender.
We are now the world’s first international digital asset platform to receive approval for a Digital Asset Service Provider license under El Salvador’s new Digital Assets Issuance Law! A milestone for financial freedom in Latin America.@bitfinex https://t.co/88Mmmi5s6M
— Bitfinex Securities (@BFXSecurities) April 11, 2023
Distribution of Digital Assets Laws by State
With this license, Bitfinex Securities will be able to offer its services to customers in El Salvador, thereby expanding its global reach. This move is expected to have a significant impact on the growth of the cryptocurrency market, as more people in the country will now have access to digital assets and the benefits they offer.
This comes after, El Salvador‘s Legislative Assembly established a framework for the country to issue Bitcoin-backed bonds, which are also referred to as “Volcano Bonds”.
In a statement, Jesse Knutson, Head of Operations at Bitfinex Securities, expressed that there is significant demand for investment products enabled by the new regulations from both issuers and investors. These products include tokenized shares, assets that generate yield, and other investment opportunities.
Despite receiving criticism from some nations and even the International Monetary Fund (IMF), El Salvador remains committed to embracing blockchain technology and the adoption of cryptocurrencies. The country is determined to position itself as the leading global hub for crypto.
In a recent move to boost innovation and development, President Nayib Bukele of El Salvador announced the complete elimination of taxes on all technological advancements. By eliminating taxes on technology, El Salvador aims to attract more businesses and investors to its shores, thus creating more job opportunities for its citizens and bolstering economic growth.
