key takeaways
- Al Salvador’s new law law allows investors to offer bitcoins and digital asset services with at least $ 250,000.
- Investment banks can cause digital asset services and issuers due to separate operations from commercial banks.
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The Legislative Assembly of Al Salvador has approved a comprehensive investment banking law which will only create a new class of finance institutions serving in high-net-class and institute clients, courts, rent press releases.
The Legislature of Al Salvador measured extensive financial services in deposits, linding and BTC and USD last year.
Supported by the Ministry of Economy, Masyor has determined a regulator framwork for investment bonds offering services such as property management, financial advisors, corporate transactions structure, structured financing and market analysis.
Investment banks should maintain minimum share capital of $ 50 million and work separately from commercial banks. These institutions may require authority to provide asset service, digital asset issuer and bitcoin service pre -classers.
MPs said that the move aims to attract international private capital, financial groups and rich individuals as a basis for regional operations to attract international private capital, financial groups and rich individuals.
The new law sponsored by the Ministry of Economy, limits customers sophisticated investors, defined as individuals or institutions with comprehensive market experience, shoulder complex financial risks shoulder to shoulder, and minimal $ 250,000 in liquid assets, which can be bitcoin, treasury bonds, token products, gold or cash.
Framework investment allows banks to conduct various operations, such as issuing bonds, loan grants, foreign exchange transactions and supplementary services.
The new banks will be regulated by the Central Reserve Bank (BCR), which will set the standard for capital, liquidity, risk management and digital asset operations. Superintendent of Financial System (SSF) will monitor compliance, transparency and investor protection.
Dania Gonzalez, a member of the Legislative Assembly of Al Salvador, said that investment is important to help raising capital for the major procedures of banking governments, companies and institutions.
The law is expected to generate adequate benefits from attracting foreign capital, international financial groups and high-to-qualified persons as a regional financial center.
“We are transforming Al Salvador into a special financial center, creating an international reputation, institutional conflict and competition,” Gonzarage said.
Legislative Development has been indicated first after the National Bitcoin Office (ONBTC)
This is a developing story. Please return for further updates.
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