Bitget crypto exchange has obtained a Bitcoin Service Provider (BSP) license in El Salvador from the Central Reserve Bank. This approval allows Bitget to provide important services for Bitcoin like fiat exchanges, payment processing and management of bitcoin. However, Bitget aims at diversifying its approach to the Latin American market and obtaining additional licenses for new services.
Bitget’s Strategic Move into El Salvador
Thus, El Salvador was the world’s first country to officially adopt Bitcoin and start accepting it as a legal tender back in September 7, 2021. Therefore attaining the BSP license means that Bitget can now legally carry out operations on Bitcoin like buying, selling, storing and transferring of the currency.
Min Lin, Chief Business Officer at Bitget underlined further importance of El Salvador’s role stating that, “We see El Salvador as a gateway to unlocking crypto’s potential, enabling financial inclusion, and driving transformative change in real-world use-cases.”
Bitget’s specialization corresponds to the Latin American market’s increasing interest in using digital assets for financial services and cross-border payments. Such progressive attitude towards Bitcoin makes El Salvador one of the world’s leading countries in the crypto industry. Moreover, Bitget aims to seize this opportunity by providing secure, easily accessible services that will address the requirements of the Latin American target market.
Expanding Operations and Regulatory Ambitions
The BSP license is just one of the many steps towards the implementation of Bitget’s strategy in El Salvador and beyond. The exchange is now planning to apply for the license of DASP from the National Commission of Digital Assets. This additional license will allow Bitget to provide services not only for Bitcoin but also other cryptocurrencies, thus providing a complete ecosystem.
With an aim to strengthen its presence in the region, Bitget is now setting up an official team in El Salvador. This local team will increase the level of user interaction with the platform, help work on services for clients, and strengthen the ties with the representation of the Latin American crypto market to Bitget.
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Furthermore, Bitget’s efforts reflect its ambition to become one of the leading cryptocurrency exchanges (CEXs) offering compliant services across multiple jurisdictions.
Bitget has secured the Virtual Asset Service Provider (VASP) licenses in Poland and Lithuania that allow the firm to conduct business legally in major European markets. The exchange has also recently re-entered the UK market through the registration on the Financial Conduct Authority standards.
El Salvador’s Growing Bitcoin Economy
Bitget’s regulatory experience occurs as El Salvador actively integrates Bitcoin-centric economic policies. Currently, the country holds about 6,189 Bitcoins worth over $632 million. President Nayib Bukele stated that El Salvador’s BTC reserves have made an unrealized profit of about $362 because of the long-term nature of the investment.
— Nayib Bukele (@nayibbukele) December 16, 2024
However, its focus on Bitcoin as a sovereign currency is still questionable and under watch by institutions.
The country is in the process of discussing the $1.3 billion IMF loan that might potentially change its Bitcoin law. Reports suggest the IMF could recommend acceptance of Bitcoin be made optional for the businesses.
Despite all the foreign scrutiny, El Salvador continues to work on the development of its digital currency plan. The government is growing its presence in outreach globally; this year it began a partnership agreement with the Argentinian government for collaboration and training regarding digital asset management.
Also, El Salvador is in the process of signing partnerships with more than countries with an aim of establishing an international model for adopting cryptocurrencies.
