Regulatory Alerts2021-09-07 | NRP-29Added · Updated
Technical Standards to Facilitate the Participation of Financial Entities in the Bitcoin Ecosystem
The Central Reserve Bank of El Salvador issued Technical Standards (CNBCR-12/2021) effective September 7, 2021, regulating banks, investment banks, cooperative banks, and electronic money providers offering bitcoin-based services. Entities must conduct enhanced due diligence and obtain Board of Directors authorization before contracting with Bitcoin Service Providers, while ensuring sufficient operational capacity and cybersecurity measures. The rules mandate traceability for fund transfers of one thousand dollars or more, require suspicious transaction reporting, and impose a fifteen-year record retention period. Non-compliance is subject to sanctions by the Superintendence of the Financial System.