The proposal of a Bitcoin bank in El Salvador gained momentum
El Salvador's pro-Bitcoin president, Naib Buquele, has proposed the creation of private investment banks in the country, which, if approved, would give Bitcoin (BTC) investors access to financial services and fewer restrictions compared to traditional banks.
El Salvador's ambassador to the United States, Milena Mayorga, wrote: “As part of our economic plan for El Salvador, we offer BPI, a private investment bank, to facilitate financing options for investors in dollars and bitcoins.” June 14 in Ex.
Arc Invest CEO Cathy Wood predicts that El Salvador's real GDP could reach 10. Buckele's senior bitcoin advisor Max Keyser said, “President Buckele hit the ground running with new legislation in a new era. “Flip over the next five years” is becoming “more likely.”
It comes two weeks after Bukele was sworn in for another five-year presidential term following a landslide election in February.
A bank does not have all the same ‘prohibitions' in banking laws for private investment.
According to El Mundo, BPI does not face the same strict rules as traditional banks, such as restrictions on overseas banks or financial companies “connected to their shareholders or business groups”. Credit limits will also be removed.
“Investment banks are also prohibited from providing credit or exposure to the same person for more than 25% of their portfolio of assets,” according to the June 14 report.
If approved, the new private investments must be “created” with a minimum capital of $50 million and require at least two shareholders; These may also be foreigners.
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BPI has reiterated that it can operate in any legal tender, including the US dollar and Bitcoin, and will even seek a license to become a digital asset and Bitcoin service provider.
El Salvador's Minister of Economy, María Luisa Haim, presented the amendment to the Technology, Tourism and Investments Commission, chaired by Buchelle. However, it has not yet been approved.
“The reform has not been approved; the legislators have not yet agreed to call the authorities to consult the objectives of the project, nor have they voted in the commission,” he said.
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