El Salvador’s new Hilton Hotel to enter Bitcoin-certified debt

Investors will soon own a new 4,500-square-foot Hamptons piece at the Hilton Hotel in El Salvador by purchasing shares issued on the Bitcoin Layer 2 Liquid Network.

The first licensed and registered digital asset provider in El Salvador – Bitfinex Securities – will facilitate the country's first registered asset increase, with debt from Inversiones Laguardia SA de CV

The hotel will be built at El Salvador International Airport and Inversiones Laguardia is looking to raise $6.25 million over a 5-year period with a 10% coupon.

“[This] It represents an important step forward in developing a new capital market and introducing a new asset class to the market,” said Paolo Arduino, Chief Technology Officer of Bitfinex Securities, in a statement on April 11.

“Investors who do not have the opportunity to invest in such assets for the first time have the opportunity to do so, but when there is less opportunity to find capital in the market, they can enter a new asset class to raise financing.”

Investors must make a minimum investment of $1,000 to purchase a token under the ticket HILSV on the Liquid Network. Liquid was developed by Blockstream in 2018, a Bitcoin-focused infrastructure company led by long-time cypherpunk Adam Back.

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The hotel project will have five levels, 80 rooms, five commercial spaces and other hotel services, swimming pool, restaurants, gym, garden and multi-purpose rooms, Bitfinex pointed out.

HILSV token holders will also be given some free nights accommodation based on their investment amount at the hotel.

El Salvador, widely known for its Bitcoin investment and adoption strategy, decided in April 2023 to expand its digital asset service provider license for Bitfinex into the real-world asset token space.

Before Bitcoin, many locals in El Salvador were stuck between making no investment and buying an entire house, said Jamie Robinson, Chief Strategy Officer of Bitcoin Hardware Store, in a recent interview with Cointelegraph.

But the expansion of Bitfinex marks a “new era of capital markets” for Bitcoin in El Salvador, Bitcoin analyst Stacey Herbett said, giving local people a new way to access financial markets.

Jesse Knutson, Chief Operating Officer of Bitfinex Securities, said: “This capital increase not only marks our first venture in El Salvador, but also stands as a demonstration of the transformative power of Bitcoin-based capital markets.”

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