Binance becomes fully licensed in El Salvador, where ‘Philosopher King’ Bukele pushed to make Bitcoin legal tender in 2021 – Yahoo Finance

0

Binance on Tuesday became the first crypto exchange to receive full operating licenses under El Salvador's new digital assets regulation, almost two years after the Central American country became the Bitcoin as legal tender.
As Binance, the world's largest crypto exchange by trading volume, faces scrutiny from global regulators, its approval by El Salvador's Central Bank and National Commission of Digital Assets represents a step forward for the embattled company, even as it's forced out of other jurisdictions.
In a statement shared with Fortune, Min Lin, Binance's new head of Latin America, touted the Salvadoran government's support of crypto, saying that it "proves security and innovation are complementary assets."
El Salvador's embrace of Bitcoin has come with its own stumbles. President Nayib Bukele announced the initiative in June 2021, arguing that a new focus on Bitcoin could help drive independence for the country's economy, which is reliant on remittances and the U.S. dollar, as well as spur tourism and business development.
Electing for a rapid rollout, the launch just three months later—including a government-sponsored crypto wallet called Chivo—was riddled with bugs and fraud. After incentivizing signups with a $30 reward, Bitcoin adoption quickly slowed, with most businesses and residents sticking with fiat currency.
The Bukele administration also promised a $1 billion bond backed by Bitcoin that would help lessen its reliance on multilateral institutions like the International Monetary Fund, although the measure was delayed as the government dragged its feet on passing digital assets regulation.
While the bond hasn't yet materialized, the country's Legislature finally passed the law in January, which established the National Commission of Digital Assets. In April, the crypto firm Bitfinex—a partner on the Bitcoin bond project—became the first platform to receive a license under the new regulatory regime. The crypto payments app Strike also received one of the first licenses, with the company announcing in May that it would move its headquarters to El Salvador. Its founder, Jack Mallers, was an early supporter of the country's Bitcoin initiative.
With Tuesday's announcement, Binance is the first exchange to receive operating licenses from both El Salvador's central bank and its National Commission of Digital Assets. According to the company, it now has approvals and registrations in 18 global markets.
Despite its approval in El Salvador, and a recent victory in Dubai, Binance has been under heat from global regulators. In the U.S., it faces lawsuits from both the Securities and Exchange Commission and the Commodity Futures Trading Commission, plus likely imminent action from the Department of Justice. The exchange has also faced scrutiny from European authorities, with French prosecutors investigating the company for violating anti-money laundering laws and Dutch regulators rejecting its application to become a virtual assets services provider.
Binance's approval in El Salvador also comes with caveats, as the Bukele administration faces criticism for authoritarian actions, including a recent crackdown on gang activity and a push for a constitutionally prohibited third term.
Bukele once declared himself the "coolest dictator in the world" in his Twitter bio. It now reads "Philosopher King."
This story was originally featured on Fortune.com
More from Fortune:
5 side hustles where you may earn over $20,000 per year—all while working from home
Looking to make extra cash? This CD has a 5.15% APY right now
Buying a house? Here's how much to save
This is how much money you need to earn annually to comfortably buy a $600,000 home

The industry's largest exchange Binance has secured two licenses for conducting crypto-related business in El Salvador.
The crypto exchange said it now holds licenses to operate in 18 countries.
Shares of Marathon were roughly flat at $15.73 in after-hours trading on Tuesday. Marathon shares are up almost 360% this year as the price of bitcoin has surged. “After a strong start to the year, we accelerated our progress in the second quarter by significantly growing our hash rate and improving our efficiency,” said Fred Thiel, Marathon’s chairman and CEO, in a press release.
The tech downturn didn’t chasten SoftBank for long. Signs of overexuberance are already reappearing along with the new bull market.
(Bloomberg) — Adani Enterprises Ltd. is exploring selling its stake in its Mumbai-listed consumer-staple joint venture with Wilmar International Ltd., freeing up capital for their core business, according to people familiar with the matter.Most Read from BloombergEveryone Wants to Work at UPS After Teamsters DealWeWork Tumbles After Raising ‘Substantial Doubt’ About FutureWall Street WhatsApp, Texting Fines Exceed $2.5 BillionUS Bank Shares Drop as Moody’s Cuts Ratings, Warns on RisksTesla CFO
Hundreds of millions of dollars have been lost to scams and exploits in July alone.
Employers plan to increase their 2024 salary budget by an average of 3.8%.
Here are the largest cryptocurrencies by the total dollar value of the coins in existence.
Ark Invest CEO Cathie Wood and Galaxy Digital CEO Mike Novogratz are both optimistic about the imminent approval of a spot bitcoin ETF.
US Central Bank Also Clarifies Procedures For Banks Dealing In Stablecoins
Coinbase has commenced an offer to buy for cash up to $150 million of its outstanding 3.625% senior notes due 2031.
The U.S. Federal Reserve is starting a new program for overseeing banks’ crypto activity, and it further clarified its requirement that the lenders under its authority get approval before engaging in digital assets activities.
Base is integrates Chainlink's price feeds to simplify integrating popular DeFi applications on the new blockchain.
Crypto funds are still taking profits, with the latest CoinShares report revealing the biggest weekly sell-off since March this year.
Bud Light may never recover from the ongoing controversy surrounding the brand, according to an anonymous beer distributor who spoke to the New York Post on July 31. Many more Anheuser-Busch InBev distributors have resigned themselves to their painful Bud Light losses and have given up on luring customers back following the controversial ad campaign. During the past few months, the company experienced hiring freezes and mass layoffs. Beer truck drivers face heckling and harassment. The revelatio
Luminar Technologies, Inc. (LAZR) delivered earnings and revenue surprises of 8.70% and 1.66%, respectively, for the quarter ended June 2023. Do the numbers hold clues to what lies ahead for the stock?
At the end of June, the Biden Administration unveiled an ambitious goal to ensure reliable broadband internet access for the entire US, even the most remote rural areas. The project will involve a federal outlay of $42 billion, allocated to the states over the next two years. The President touts the initiative as a move to close the ‘digital gap’ that separates the haves and have-nots in the world of high-speed connectivity. “It’s the biggest investment in high-speed internet ever, because for t
We’re in the midst of a major economic transition, one that may eventually match the changes of the Industrial Revolution. The change, of course, is the advent of the green economy, and the switch from fossil fuel energy sources to renewable energy. While wind and solar power are soaking up the headlines, a more plausible long-term green power source is already near at hand: hydrogen. Hydrogen, the most common element in the universe, is all around us – highly reactive and non-polluting. When us
Shares of Upstart fall sharply after the artificial-intelligence lending company issues a third-quarter earnings and revenue forecast that was below expectations, while Penn Entertainment surges after striking a deal with ESPN.
WeWork on Tuesday raised doubt about its ability to stay in business as the co-working space provider faces losses and a dwindling cash pile amid major changes in the way people work.

source

Leave a Reply

Your email address will not be published. Required fields are marked *