El Salvador’s President Nayib Bukele, known for his pro-Bitcoin stance, is suggesting the creation of private investment banks in the country. If this proposal goes through, it would provide Bitcoin (BTC) investors with access to financial services and fewer restrictions compared to traditional banks.
The plan for a Bank for Private Investment (BPI) was announced by the Salvadoran Ambassador to the United States, Milena Mayorga, on June 14. This initiative aims to diversify financing options for potential investors in both Dollars and Bitcoin. Max Keiser, a senior Bitcoin advisor to Bukele, also commented on the proposal, highlighting the positive forecast for El Salvador’s real GDP growth.
The establishment of a BPI comes shortly after Nayib Bukele began his second five-year presidential term. The new bank would operate with fewer prohibitions compared to traditional banks, allowing for greater flexibility in engaging with overseas financial institutions and eliminating loan restrictions.
If approved, the BPI would require a minimum share capital of $50 million and at least two shareholders, including the possibility of foreign investors. The bank would be able to operate in any legal tender, including the US Dollar and Bitcoin, and potentially provide digital asset and Bitcoin services.
The proposal for the BPI was presented by El Salvador’s Minister of Economy, María Luisa Hayem, under Bukele’s guidance. However, it has not yet been approved by the legislature, as discussions are ongoing regarding the objectives and implications of the project.
In related news, El Salvador has launched a $360 million Bitcoin treasury monitoring website to track the country’s Bitcoin holdings. Additionally, the debate around Bitcoin Layer 2 solutions and their classification continues to be a topic of interest in the cryptocurrency community.