Binance becomes first fully-licensed crypto exchange in El Salvador

• Binance has secured approval as both a Bitcoin Services Provider and the first non-provisional Digital Assets Services Provider.
• The licenses allow the exchange to offer tailor-made crypto products and services in El Salvador, according to a press release.

Binance has been granted two key licenses in El Salvador, becoming the first fully-licensed crypto exchange in the country. El Salvador recognised Bitcoin as legal tender in 2021, the first country in the world to take the step.

CEO Changpeng Zhao tweeted (Xd) the news.

#Binance is pleased to announce that it has become the first fully licensed crypto exchange in El Salvador.🇸🇻

Let’s keep making crypto more accessible.https://t.co/kz91z2LAcL

— CZ 🔶 Binance (@cz_binance) August 8, 2023

Binance acquires two licenses in El Salvador

According to an announcement the Binance team published on Tuesday, the exchange has received the Bitcoin Services Provider license (BSP) and the Digital Assets Services Provider license (DASP) – issued by El Salvador’s Central Reserve Bank (Banco Central de Reserva) and the National Commission of Digital Assets (Comisión Nacional de Activos Digitales) respectively. 

The DASP license sees Binance become the first non-provisional crypto services provider in the Central American country.

“We are honored to be granted this license, as Binance continues to work collaboratively with regulatory agencies around the world to support global standards for the crypto and blockchain industry,” Min Lin, Binance Head of Latin America, said in a statement.

The approvals and the official announcement come after regulators completed all the due diligence and is a pointer to Binance’s continued pursuit of regulatory compliance across the world, the exchange noted in a press release.

El Salvador is thus among several countries to license Binance or grant it registration status, including Italy, France, Spain, Sweden and Dubai.

Commenting on the latest approval, Daniel Acosta, the Binance General Manager for Colombia, Central America and Caribbean, noted:

“These licenses allow Binance to expand the products and services offered including options tailored to the needs of our customers in El Salvador. It is also a great opportunity to collaborate closely with government authorities to support the adoption of crypto assets in the country, foster financial inclusion, innovation and ensure customer protection.”

Binance was sued by the SEC in June and has exited a number of countries due to regulatory issues. However, it’s also been aggressive in its expansion efforts, including into Japan.