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- Binance, which has two licenses, BSP and DASP, stated in its announcement that it has the authority to offer special products and services within the country.
- Binance was already operating in El Salvador, but the company spokesperson stated to COINOTAG that it was “only through an offshore exchange.”
- El Salvador has been a country supporting cryptocurrency since 2021. At that time, it became the first country in the world to recognize Bitcoin as a legal currency.
Binance, the world’s largest cryptocurrency exchange, announced that it has obtained DASP and BSP licenses in El Salvador and is the first fully licensed exchange in the country.
Binance Exchange Obtains License in El Salvador
Binance announced that it is the first “fully licensed” cryptocurrency exchange in El Salvador. With two licenses, the Bitcoin Service Provider (BSP) license granted by the Central Bank and the first non-temporary Digital Asset Service Provider (DASP) license granted by the El Salvador National Digital Asset Commission, Binance stated that it has the authority to offer special products and services within the country.
Binance was already operating in El Salvador, but the company spokesperson stated to COINOTAG that it was “only through an offshore exchange.” The licenses allow the company to expand its services, they added.
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Binance General Manager Daniel Acosta said the following in the statement;
“These licenses provide Binance with the opportunity to expand the products and services offered, including special options for customer needs in El Salvador. At the same time, it is a great opportunity to collaborate closely with government officials to support the adoption of crypto assets in the country, promote financial inclusion, encourage innovation, and ensure customer protection.”
El Salvador’s Adoption of Cryptocurrency
In April, Bitfinex also announced that it was the first fully regulated digital asset exchange to obtain a DASP license in El Salvador. On the other hand, Binance has obtained two licenses (both DASP and BSP). Bitfinex specifically offers trading of tokenized digital assets such as securities and bonds.
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El Salvador has been a country supporting cryptocurrency since 2021. At that time, it became the first country in the world to recognize Bitcoin as a legal currency. Earlier this year, the country passed a law allowing the issuance of digital assets other than Bitcoin. This law brought a definitive regulatory framework for businesses focusing on tokenized securities, alternative cryptocurrencies, and digital assets other than Bitcoin.
With the licenses in El Salvador, Binance currently has regulatory approval and registration in 18 markets worldwide, including France, Italy, Spain, Sweden, and Dubai. Binance stated that this is “more than any other cryptocurrency exchange.”
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Binance is currently in a legal battle with regulators in the United States. Despite regulatory issues, the cryptocurrency exchange has maintained its dominance and recently surpassed 150 million registered users.
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