Catenaa, Monday, August 11, 2025- El Salvador’s legislative assembly approved a new law permitting investment banks with over $50 million in capital to offer bitcoin and digital asset services to qualified investors.
Under the law, these regulated investment banks can obtain crypto licenses to hold bitcoin, issue tokens, and structure crypto-linked financial products. Services are restricted to investors with at least $250,000 in liquid assets, shifting the focus from mass retail adoption to institutional and high-net-worth clients.
The legislation builds on existing crypto licensing categories, enabling investment banks to layer digital asset services on top of their current banking licenses.
Dania González, a government representative, described the move as expanding El Salvador’s financial system to include regulated entities complementary to traditional banks.
El Salvador’s bitcoin push has faced setbacks since its 2021 public-sector adoption mandate.
The government halted new public bitcoin purchases after securing a $1.4 billion IMF loan, and actual retail use remains low, with only 1% of remittances involving crypto and limited adoption among citizens.
Despite challenges, the Bitcoin Office maintains it buys one bitcoin daily, though central bank officials confirm no new public sector acquisitions since the IMF deal.
This law signals a strategic shift to attract institutional capital and regulated crypto finance, positioning El Salvador as a pioneer in formalizing digital asset banking services.
