Bitcoin regulated investment banks (BTC) arrive in Salvador, after the El Salvador Investment Banks Act on Thursday approval, which classifies investment banks under different regulations than commercial banks.
Investment banks will now be authorized to hold the BTC and other digital assets on their balance sheets and will offer crypto services to “sophisticated” investors, the equivalent of investors accredited in the United States, Juan Carlos Reyes, president of the El Salvador Commission of Digital Active Cointelegraph. He added:
“The new investment banks law allows private investment banks to operate in legal actions and foreign currencies for sophisticated investors ” and to engage in digital assets like Bitcoin with a license of digital asset service provider (PSAD). With a PSAD license, a bank could choose to work entirely like a Bitcoin bank. ”
The law encourages foreign investments in Salvador and positions it as a center emerge for finance, according to supporters of the newly adopted law.
https://www.youtube.com/watch?v=iel3Hdesf24
Institutional investors were a major engine for the adoption of El Salvador’s cryptography, because the country of Central America attracts cryptographic companies and financial companies with its Pro-Crypto regulatory climate.
However, criticisms say that the adoption of the BTC in the country and regulatory policies do not help the average person and mainly benefits government and large companies.
In relation: El Salvador has not bought Bitcoin since his loan signature, said the IMF says
El Salvador forges international partnerships to stimulate the growth of cryptography
The president of El Salvador, Nayib Bukele, met Bilal Bin Saqib, Minister of the Pakistani State of Crypto and Blockchain, to share strategies for the adoption of Bitcoin and the energy policy of Bitcoin at the national level to promote cryptographic exploitation.
“Cooperation is mainly based on how emerging economies are both in the IMF program can take advantage of technology and other financial instruments for national growth,” Bin Saqib told Cointelegraph in an interview.
On July 30, the Central Bank of Bolivia signed a memorandum of understanding with CNAD to promote the use of cryptocurrencies as an alternative to traditional fiduciary currencies.
The agreement occurred in the midst of a monetary crisis in Bolivia, where American dollars are rare and difficult to acquire, which makes international trade difficult.
This has led to the growing use of American wording stables as a means of exchange, according to the CEO of Tether, Paolo Ardoino.
Review: El Salvador’s National Bitcoin Head was in Argentina in Orange
