Bitfinex Derivatives has secured a Digital Asset Service Provider (DASP) license in El Salvador, marking another major step in the exchange’s Latin America expansion. The approval allows the company to operate derivatives services through a locally registered entity, Bitfinex Derivatives El Salvador S.A. de C.V.
The move also strengthens El Salvador’s growing reputation as a crypto-friendly financial hub.
El Salvador Strengthens Crypto Framework
El Salvador’s National Commission of Digital Assets (CNAD) confirmed that the Bitfinex entity was registered in October 2024 under the country’s digital asset regulations. According to the regulator, the licensing framework aims to create a secure and transparent environment for digital asset businesses.
Under the arrangement, derivatives trading services on Bitfinex will now operate through the Salvadoran company.
The approval follows El Salvador’s continued push to attract crypto firms after becoming the first country to adopt Bitcoin as legal tender in 2021. Furthermore, the nation introduced its Digital Assets Issuance Law in January 2023 to support tokenized finance and digital asset innovation.
Bitfinex Deepens Regional Presence
Bitfinex already had an established presence in El Salvador before this latest approval. In April 2023, Bitfinex Securities El Salvador became the first international digital asset platform authorized under the country’s Digital Assets Issuance Law.
That earlier license focused on tokenized securities, including:
- Digital bonds
- Tokenized equities
- Blockchain-based investment products
The new authorization targets crypto derivatives, one of the largest segments of the digital asset market. Products in this category include perpetual futures and options, which generate significant trading volume across global exchanges.
DailyCoin reported that Bitfinex announced the license on January 7, 2025, describing it as part of a broader Latin American expansion strategy.
Challenges Remain for El Salvador
While El Salvador continues attracting crypto businesses, questions remain about long-term institutional adoption. Supporters believe the country’s clear rules give exchanges and investors greater confidence.
However, regulators still face pressure to balance innovation with investor protection and market oversight.
For Bitfinex, the license offers a clearer regulatory base for regional growth. Meanwhile, El Salvador hopes these developments will help establish the country as a leading digital asset financial center in Latin America.
