Bitget has been granted an official Bitcoin Service Provider (BSP) license by El Salvador, which is a significant milestone in the cryptocurrency exchange’s expansion into the Latin American market.
This license enables Bitget to provide a variety of services, such as the secure management of Bitcoin custody, the conversion of Bitcoin to fiat currencies, and the processing of payments. The Central Reserve Bank of El Salvador issued the announcement on December 16, 2024.
Bitget’s Strategic Move
Bitget’s decision to pursue licensing in El Salvador is consistent with the nation’s innovative cryptocurrency policy. El Salvador has established itself as a center for crypto innovation since 2021, when it became the first nation to recognize Bitcoin as legal tender.
We’re excited to announce that #Bitget has secured a Bitcoin Service Provider (BSP) license in El Salvador! 🇸🇻
This milestone empowers us to drive LATAM’s crypto revolution with secure services such as BTC-to-fiat conversions, custody & payment solutions.https://t.co/yCSEvWSNL9
— Bitget (@bitgetglobal) December 16, 2024
Min Lin, Bitget’s Chief Business Officer, underscored the significance of this initiative, asserting, “We regard El Salvador as a gateway to unlocking the potential of cryptocurrency.” The exchange is also in the process of obtaining a Digital Assets Service Provider (DASP) license in order to expand its services beyond Bitcoin. This license would allow the exchange to offer services for other cryptocurrencies.
BTCUSD trading at $106,683 on the daily chart: TradingView.com
Bitget intends to establish a local staff in El Salvador in order to fortify its presence in the region. The objective of this initiative is to enhance user support and improve service delivery in a market that is progressively embracing digital assets. The company perceives significant potential in Latin America as a burgeoning hub for cryptocurrency innovation and adoption.
Celebrating Financial Success
El Salvador is celebrating significant unrealized profits from its Bitcoin investments at the same time as Bitget’s licensing. President Nayib Bukele recently declared that the nation’s Bitcoin assets have produced an estimated $362 million in profits.
Image: Zerocap
These figures underscore the financial advantages of El Salvador’s progressive approach, as evidenced by its current total of 6,188 BTC, which is valued at over $632 million, and an investment of approximately $270 million.
Global Finance Scrutiny
Despite these improvements, major financial institutions are scrutinizing the country’s crypto policies. El Salvador may receive a $1.3 billion IMF loan, according to sources. The country’s Bitcoin legislation may change. These changes could significantly impact cryptocurrency regulation, affecting planned projects.
Bitget’s foray into El Salvador could facilitate additional expansion of the digital asset ecosystem in the region, given the recent increase in interest in cryptocurrencies and their potential applications.
At the time of writing, Bitcoin (BTC) was trading at $106,897.
