Two Companies Registered as Digital Asset Issuers in El Salvador
The Digital Assets Law was approved in El Salvador more than a year ago. Since then, only two companies have registered as issuers of securities with that entity. The first was eGrains, which carried out the first public offering of a digital asset in January for an amount of $100 million. The second of them, registered last week, is Nexbridge, a company that has Bitfinex as a partner.
Bitfinex is the company that will be in charge of the platform on which the Volcano Bonus will be issued, the state asset backed by Bitcoin that President Nayib Bukele announced. Representatives from Nexbridge have mentioned that important news about the company will be released soon.
The Nexbridge representative also discussed the facilities that the new legislation based on digital assets represents for a company like theirs. He also mentioned the little bureaucracy necessary for a company of this type to function in El Salvador. However, the licensing process for digital asset issuers is described as long and rigorous.
The National Digital Assets Commission has approved the operation of up to 16 digital asset service providers and has allowed the placement of securities on digital platforms or wallets. Despite so many advantages, there have been few companies registered as issuers of digital assets in El Salvador. This is attributed to the long and strict licensing process as well as the invasive controls and clear rules required by the legislation.
The second company issued in El Salvador is Nexbridge, which has Bitfinex as a partner. The National Digital Assets Commission has allowed the operation of up to 16 digital asset service providers and the placement of securities on digital platforms or wallets.