Overview

• The Investment Banking Law creates a new class of institutions separate from commercial banks empowered to hold and transact in Bitcoin and other digital assets.
• Licensed banks must maintain a minimum share capital of $50 million and may seek a Digital Asset Service Provider (PSAD) license to operate entirely as Bitcoin banks.
• Services under the new regime are limited to “sophisticated investors” defined by a minimum of $250,000 in liquid assets, including BTC, bonds, tokenized products, gold, or cash.
• Regulatory oversight splits responsibilities between the Central Reserve Bank, which sets standards for capital, liquidity, risk management, and digital asset operations, and the Superintendency of the Financial System, which enforces compliance and investor protections.
• The law aims to attract international private capital and strengthen El Salvador’s ambition to become a regional and global crypto finance hub, building on recent partnerships with Pakistan and Bolivia.