El Salvador’s state-run Bitcoin Office said on 8 August that the government is preparing to establish what it calls the world’s first Bitcoin bank, broadening the Central American nation’s push to integrate the cryptocurrency into its financial system
El Salvador’s state-run Bitcoin Office said on 8 August that the government is preparing to establish what it calls the world’s first Bitcoin bank, broadening the Central American nation’s push to integrate the cryptocurrency into its financial system.
The planned institution would offer deposits, payments and lending denominated in Bitcoin alongside conventional services, deepening the strategy launched in 2021 when El Salvador made the token legal tender and later proposed a Bitcoin-backed bond and a tax-free “Bitcoin City.” The office did not release a launch date or regulatory details, but said “Bitcoin banks are coming,” indicating legislation or new bank charters may be forthcoming.
Further information on capitalization, prudential oversight and anti-money-laundering controls has yet to be provided. The initiative is likely to reignite scrutiny from multilateral lenders such as the International Monetary Fund, which has warned about the fiscal and financial risks of large-scale crypto exposure.
The announcement coincided with a separate statement from the mayor of Panama City, who said he wants the Panama Canal to accept Bitcoin payments and allocate the proceeds to a national reserve fund, signaling broader regional interest in adopting the digital asset for public finance.
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Source: https://thedefiant.io/news/blockchains/el-salvador-plans-worlds-first-bitcoin-bank-70881270