El Salvador Approves Investment Banking Law for Crypto

El Salvador's Legislative Assembly has passed an Investment Banking Law enabling regulated investment banks to serve high-net-worth and institutional investors, with services offered in both Bitcoin and US dollars. These banks must have at least $50 million in capital and will operate as digital asset service providers under the oversight of the Central Reserve Bank. The initiative aims to attract global capital and diversify financing options for sophisticated investors, solidifying El Salvador's reputation as a pro-crypto nation. The National Bitcoin Office has promoted the upcoming 'Bitcoin banks,' but critics argue the benefits are limited to the government and large investors rather than the wider population. International organizations such as the IMF remain skeptical about the reforms. Meanwhile, Bolivia is considering similar crypto banking strategies amid its own economic challenges.