El Salvador will establish the world's first "Bitcoin bank," limited to high-net-worth investors with over $250,000.

El revolucionario Bitcoin de El Salvador está entrando en una nueva etapa. La oficina oficial de Bitcoin del país ha anunciado que el primer banco del mundo completamente operativo basado en Bitcoin se establecerá en El Salvador, y solo estará abierto a inversores de alto patrimonio neto con activos líquidos superiores a 250,000 dólares. Esta iniciativa consolidará aún más la posición de El Salvador como un centro global de innovación en Bitcoin y finanzas digitales.

Bitcoin Bank: The World’s First, Embedded in the National Financial System

According to the newly passed “Investment Banking Act,” licensed private investment banks can fully operate and price in Bitcoin (BTC), and directly include BTC, tokenized assets, US dollars, gold, and other assets in their balance sheets.

Capital threshold: Minimum of 50 million USD in equity

Service target: “mature investors” with at least $250,000 in liquid assets.

Business Scope: Underwriting securities, asset management, cross-border financing, corporate trading, etc.

This is the world’s first case of fully incorporating Bitcoin banking operations into a national regulatory framework, meaning that BTC is not only the legal tender of El Salvador but will also become the core of its high-end financial services.

Attract international capital and position as a digital financial hub

El Salvador’s President Nayib Bukele’s senior Bitcoin advisor Max Keiser stated, “Bitcoin is consuming $400 trillion in stored value worldwide, and El Salvador will be at the center of this financial revolution.”

The goal of the bill is to attract multinational investment banks and asset management institutions to settle in El Salvador, transforming it into a digital asset financial center in Latin America and deeply integrating with the international crypto market.

International Cooperation and Bitcoin Diplomacy

El Salvador has been actively promoting international cooperation on Bitcoin recently:

1. Discuss Bitcoin adoption and mining energy policies with the Minister of Cryptography and Blockchain of Pakistan.

2. Signed a memorandum of understanding with the Central Bank of Bolivia to promote the use of cryptocurrency as a means of cross-border payment during dollar shortages, with stablecoins (especially USDT) rapidly gaining popularity in Bolivia’s international trade.

These measures show that El Salvador is not only promoting Bitcoin domestically but also trying to integrate it into the global financial network.

Strict Regulation and Investor Protection

The newly established Bitcoin bank will be regulated by the Central Reserve Bank (BCR) and audited for compliance by the Financial System Supervisor (SSF) to ensure:

1. Capital adequacy ratio and liquidity ratio meet the standard

2. Digital asset operations have a complete risk management system.

3. Investors’ rights are protected by law.

This model not only reduces the risks of unregulated crypto banks but also sends a signal of “safe, legal, and sustainable” to global investors.

Important Turning Points in Bitcoin Adoption

Since 2021, when BTC was recognized as legal tender, El Salvador’s Bitcoin policy has mainly focused on retail applications (such as the Chivo wallet). The launch of the Bitcoin bank exclusively for high-net-worth investors marks a shift in policy focus towards institutional capital inflows, which could significantly boost global demand and confidence in Bitcoin.

Conclusion

El Salvador’s “Bitcoin Bank” project is not only an upgraded version of the country’s Bitcoin strategy but also a groundbreaking initiative in the history of global finance. As BTC transitions from retail payments to high-end investment banking, this Bitcoin revolution led by El Salvador may accelerate the mainstreaming of global crypto assets.