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- With both BSP and DASP licenses, Binance stated that it now has the authority to offer specialized products and services within the country.
- Binance was already operating in El Salvador, but the company spokesperson clarified to COINOTAG that this was done “solely through an offshore exchange.”
- El Salvador has been a supportive country for crypto since 2021, becoming the first nation globally to recognize Bitcoin as legal tender.
Binance, the world’s largest crypto exchange, announced that it has obtained DASP and BSP licenses in El Salvador, making it the first fully licensed exchange in the country.
Binance Exchange Secures License in El Salvador
Binance has announced that it is the first “fully licensed” crypto exchange in El Salvador. With both the Bitcoin Service Provider (BSP) license granted by the Central Bank and the first non-temporary Digital Asset Service Provider (DASP) license provided by the El Salvador National Digital Asset Commission, Binance stated that it now has the authority to offer specialized products and services within the country.
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Binance was already operating in El Salvador, but the company spokesperson clarified to COINOTAG that this was done “solely through an offshore exchange.” The obtained licenses allow the company to expand its services, the spokesperson added.
Daniel Acosta, General Manager of Binance, said in the statement:
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“These licenses provide Binance the opportunity to expand our product and service offerings to meet the unique needs of our customers in El Salvador, while also presenting an exciting opportunity to work closely with government officials to support the adoption of crypto assets in the country, encourage financial inclusion, foster innovation, and ensure customer protection.”
El Salvador’s Crypto Adoption
In April, Bitfinex also announced that it became the first fully regulated digital asset exchange with a DASP license in El Salvador. Meanwhile, Binance holds two licenses (both DASP and BSP). Bitfinex specifically offers the trading of tokenized digital assets like securities and bonds.
El Salvador has been supportive of crypto since 2021, becoming the first nation globally to recognize Bitcoin as legal tender. Earlier this year, the country passed a law allowing the issuance of digital assets other than Bitcoin. This law established a definitive regulatory framework for businesses focusing on tokenized securities, alternative cryptocurrencies, and digital assets other than Bitcoin.
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With the El Salvador licenses, Binance now holds regulatory approval and registrations in 18 markets worldwide, including France, Italy, Spain, Sweden, and Dubai. Binance claims that this is “more than any other crypto exchange.”
Currently, Binance is engaged in a legal battle with U.S. regulators. Despite regulatory challenges, the crypto exchange has maintained its dominance and recently surpassed 150 million registered users.
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