El Salvador’s largest bank partners with Flexa for Bitcoin payments

Bancoagrícola, El Salvador’s largest financial institution, will promote the country’s Bitcoin adoption policy after establishing a partnership with the digital payment gateway Flexa.

According to one announcement As reported by Flexa on Thursday, Bancoagrícola has reached an agreement with the encrypted payment network to enable Bitcoin (Bitcoin) For bank customers (including retail customers and merchant customers) transfers.

As part of the partnership, Bancoagrícola customers can make credit card payments in U.S. dollars through Flexa or other Lightning-enabled wallets such as Chivo and Éclair. According to the press release, these payments will not incur any additional costs and also include loans and goods.

Flexa recently added support for lightning payment, which is reportedly aimed at merchant customers.

The partnership between Bancoagrícola and Flexa followed closely Bitcoin officially becomes El Salvador’s legal tender.

Reports of Salvadoran retailers accepting Bitcoin have become commonplace on social media, and Cointelegraph reported that McDonald’s stores in the country Accept BTC as payment.

related: El Salvador says merchants must process BTC transactions – otherwise they may face action

If El Salvador’s Bitcoin adoption policy proves to be successful, global currency service providers such as MoneyGram and Western Union may be lose According to the president of the country, it is as high as 400 million U.S. dollars per year.

In fact, remittances account for a large part of El Salvador’s GDP — 23% in 2020 alone — and it is reported that 70% of the population receives funds from overseas.

As early as August, the Central American Bank for Economic Integration (CABEI) stated that the adoption of Bitcoin as legal tender may be Have a positive impact on remittances in the regionAt that time, CABEI promised to assist the country in establishing a technical framework for adopting BTC and complying with international anti-money laundering standards.

El Salvador’s Bitcoin law is not without opposition According to reports, the majority of the country’s population Against moving. Global financial entities such as the International Monetary Fund also Warning against using Bitcoin as the national currency.