Quick Facts
| Parameter | Value |
|---|---|
| License name | Bitcoin Service Provider |
| Country | El Salvador |
| Regulator | BCR / CNAD |
| What it covers | Bitcoin-specific framework under the Bitcoin Law |
| Minimum capital | Model-dependent |
| Timeline | 4–8 weeks |
What is the Bitcoin Service Provider?
The Bitcoin Service Provider is a regulator authorisation issued by BCR / CNAD that allows a regulated entity in El Salvador to provide the services covered by the regime. Bitcoin-only services use this track.
Who needs a Bitcoin Service Provider?
Operators offering services that fall within the activity definition supervised by BCR / CNAD. The activity scope captures bitcoin-specific framework under the bitcoin law — and you should treat anything within or adjacent to that scope as caught until the structure has been opined on.
How the Bitcoin Service Provider application works
The application is run as a structured five-stage workstream: scoping and gap analysis, incorporation and substance, AML/KYC programme drafting, regulator submission and RFI cycles, and post-licence onboarding. Total time from kickoff to authorisation is 4–8 weeks.
Cost of the Bitcoin Service Provider
The total first-year cost combines: regulator fee, statutory capital tied up at Model-dependent, legal fees confirmed at engagement, substance (resident director, office, AML officer where required), and the first year of ongoing supervision. We provide a fixed-scope quote at engagement so the number is not a moving target.
Pitfalls to avoid
- Mismatched substance. Paper directors and serviced offices are detected at first examination. Substance must be substantive;
- Generic AML programmes. BCR / CNAD reads policies as a competency signal — generic templates are visible;
- Banking afterthoughts. A licence without a bank account is a paperweight. Banking is part of the engagement, not bolted on after authorisation;
- Ignoring the year-one supervision burden. Authorisation is the start. Annual audit, AML refresh and material-change notifications are calendared from day one.
Frequently asked questions
What does the Bitcoin Service Provider cover?
The Bitcoin Service Provider authorises bitcoin-specific framework under the bitcoin law. It is supervised by BCR / CNAD. Bitcoin-only services use this track.
What is the timeline for the Bitcoin Service Provider?
Typical timeline is 4–8 weeks from kickoff to authorisation. Variance comes from RFI cycles and the quality of the application file at submission, not from the published schedule.
What is the minimum capital for the Bitcoin Service Provider?
Statutory capital is Model-dependent. Capital is one input — substance, governance and the AML programme usually drive the application outcome more than the capital line on its own.
How does the Bitcoin Service Provider fit alongside other El Salvador licences?
Most operating models in El Salvador combine Bitcoin Service Provider with one of the other available regimes — see the full list on the El Salvador page.
Who supervises Bitcoin Service Provider authorisation in El Salvador?
BCR / CNAD is the supervising authority. The same regulator handles ongoing supervision after authorisation, including annual returns and material-change notifications.