Bancoagricola is supporting a broad number of Bitcoin-related services in El Salvador because of a partnership with payments startup Flexa.
The usage of Bitcoin in El Salvador has not had the very best of begins. Nonetheless, monetary establishments are already doing their finest to adjust to the regulation.
Bancoagrícola, the country’s largest bank, is among the first banks to include Bitcoin-compatible expertise options and is already adapting its infrastructure to offer Bitcoin services thanks to a partnership with digital payments startup Flexa.
Bancoargicola and Flexa Associate to Deliver Bitcoin to the Banks
In keeping with an official Press Release shared by Flexa, the combination of each events will permit Salvadorans to make use of basic banking providers no matter whether they choose Bitcoin or dollars.
The startup talked about that Bancoagricola started supporting Bitcoin for loans, credit cards, and service provider goods and services in an try to adjust to the Bitcoin Regulation as soon as possible.
The Bitcoin Regulation, introduced by President Bukele in June and authorised a number of hours later by the nation’s pro-Bukele congress, stipulates that Bitcoin shall be acknowledged as a legal tender, being of necessary acceptance by any financial agent with the minimal means needed to make use of it.
Since Bitcoin operates exterior the banking construction, the federal government created the Chivo wallet and airdropped $30 in BTC to all Salvadorans who download it. The Chivo wallet is custodial, doesn’t rely straight on any bank, and permits quick and allegedly zero-fee exchange between Bitcoin and dollars.
However Bancoagrícola could be going a step farther from the viewpoint of built-in monetary providers. The partnership will even serve to offer Bitcoin compatibility at Bancoagrícola’s factors of sale without the necessity to use the Chivo Wallet.
Banks in El Salvador Are Not The Only Ones Innovating
Bancoagricola is a subsidiary of Bancolombia, Colombia’s leading bank. In that nation, Bancolombia is working on an integration with US-regulated cryptocurrency exchange Gemini to offer comparable providers because of the regulatory sandbox currently in place since 2019.
The mixing with Flexa could be a novel innovation worldwide. Carlos Mauricio Novoa, COO of Bancoagricola, mentioned they’re excited concerning the future prospects and hope to proceed to improve their services on this new economic stage that’s starting within the nation.
“We’re excited to be the primary financial institution in El Salvador to allow bitcoin access for our clients throughout our total suite of economic merchandise and to boost financial inclusion. Flexa has been instrumental in serving to us prioritize our clients’ experiences using bitcoin as legal tender in El Salvador; we look ahead to persevering with to innovate alongside them for a very long time to return.”
Due to this resolution, Salvadorans would have full Bitcoin-to-fiat compatibility even when they use a third-party wallet beside the government-sponsored Chivo wallet.