Binance has become the first fully licensed crypto exchange in El Salvador, a country that has looked to embrace digital currencies into its economic framework
As a result of the expansion, the firm has received a Bitcoin Services Provider license (BSP), by the Central Reserve Bank (Banco Central de Reserva).
Min Lin, Binance Head of Latin America, commented: “We are honored to be granted this license, as Binance continues to work collaboratively with regulatory agencies around the world to support global standards for the crypto and blockchain industry.
This announcement comes after many months of dedication from our team to provide all information and proceed with the necessary due diligence required by the agencies, showcasing our commitment to the Salvadoran market and our users. We are grateful to the Central Reserve Bank and the National Commission of Digital Assets.
“Their blockchain technology adoption has created a thriving sector in El Salvador that proves security and innovation are complementary assets. Now, it joins countries around the world that have granted Binance a regulatory license.”
It represents a significant moment in the growth of Binance – enhancing the firm’s ongoing efforts to get local licenses and permissions in key markets worldwide. With this, the company has approvals and registrations in 18 markets worldwide, including France, Italy, Spain, Sweden and Dubai, more than any other crypto exchange.
Daniel Acosta, Binance General Manager for Colombia, Central America and Caribbean, added: “These licenses allow Binance to expand the products and services offered including options tailored to the needs of our customers in El Salvador. It is also a great opportunity to collaborate closely with government authorities to support the adoption of crypto assets in the country, foster financial inclusion, innovation and ensure customer protection.”
El Salvador became the first country in the world to recognise Bitcoin as a legal tender in 2021 two years ago and approved a law regulating the issuance of other digital assets by both the state and private entities.
Expert Analysis: Binance’s market entry underlines the progression of El Salvador as a hub for innovation when it comes to digital currency. Binance will be hoping it can thrive in the region of El Salvador, as it continues in its bid to innovate.