Qredo, a decentralized finance company, has been approved as a Bitcoin (BTC) service provider in El Salvador. The move adds the company to a list of registered Bitcoin service providers in the country.
The Central Reserve Bank of El Salvador accepted Qredo’s registration as a recognized Bitcoin service provider, according to the country’s Bitcoin Law, according to a statement released on Wednesday.
Qredo was approved to custody BTC, provide Bitcoin wallets, handle payments, and function as a digital asset exchange, according to the registration page.
Qredo stated that as a crypto service provider, it was expected to follow local laws and international conventions around digital assets, as well as risk management to prevent losses or theft.
Chivo, the company behind the state-issued crypto wallets and kiosks (akin to Bitcoin ATMs), as well as Paxos Trust Company, Paxful, and Bitcoin payment processor OpenNode, are among the other recognized providers in El Salvador.
“The BCR’s decision expands Qredo’s foothold in El Salvador and expands our footprint in Latin America, where we feel has tremendous promise for digital assets,” said Qredo CEO Anthony Foy.
According to a March study from the Salvadoran Chamber of Commerce, 14 percent of local businesses have used Bitcoin since the law entered into force in September 2021.
El Salvador is one of the most crypto-friendly countries in Latin America, with a population of about 6.5 million people, but the actions of governments in surrounding countries have signaled that some may be on their way to eating the orange pill.
Panama’s legislature passed a cryptocurrency bill in April with the goal of making the country “compatible with the digital economy, blockchain, crypto assets, and the internet.” The Brazilian Senate then passed its own Bitcoin Law, establishing a legislative framework for cryptocurrencies.
