Regulatory AlertsEl Salvador: fintech & payments regulation
RegulatedEl Salvador: CNAD regulates digital assets; BCRSV oversees traditional finance
- Lead regulator
- Comisión Nacional de Activos Digitales (CNAD)
- Also involved
- BCRSV (banking/insurance) · SVOR (securities oversight)
- Core law
- Digital Asset Issuance Law (2024)
- Entry capital
- USD 2,500 (PSAD AML verification fee)
- Approval timeline
- —
- Customer assets
- Licensed PSAD only
- Data protection
- —
- Sandbox
- No
El Salvador has established a comprehensive regulatory framework for digital assets under the Digital Asset Issuance Law (2024), overseen by the CNAD. Traditional financial services remain under the Central Reserve Bank (BCRSV). The regime distinguishes between digital asset issuers and service providers (PSAD), with strict AML/CFT requirements and public offering rules.
Which licence do you need?
| Your activity | Requirement | Capital | Timeline | Authority |
|---|---|---|---|---|
| Payment processing / gateway | LicencePSAD[1][2] PSAD registration required for digital asset services | — | — | CNAD |
| E-money & wallet issuance | LicencePSAD[3][4] Stablecoin issuance regulated under specific rules | — | — | CNAD |
| Domestic money transfer | LicencePSAD[1] Digital asset transfers require PSAD registration | — | — | CNAD |
| Cross-border remittance | LicencePSAD[1] Cross-border digital asset transfers regulated | — | — | CNAD |
| Agent network | Uncertainverify with regulator Agent network rules not specified in provided documents | — | — | — |
| Open banking / account information | Uncertainverify with regulator Open banking framework not detailed in provided documents | — | — | — |
| Foreign-exchange services | Uncertainverify with regulator FX services not explicitly covered in provided documents | — | — | — |
New — what changed recently
- 2025-12-03Circular 009-2025 — CNAD introduced a mandatory USD 2,500 AML/CFT verification fee for new PSAD license applicants.[5]
- 2024-04-22Digital Asset Issuance Law — Enactment of the core law establishing the CNAD and regulating digital asset issuers and service providers.[6]
- 2024-04-22PSAD Regulations — Issuance of detailed regulations for Digital Asset Service Provider registration and obligations.[1]
Market-entry checklist
- 1Register as PSAD with CNADComplete the two-stage registration process (pre-registration and definitive registration) with the CNAD.
- 2Pay AML Verification FeeSubmit the mandatory USD 2,500 fee for the technical review of your AML/CFT compliance framework.
- 3Submit Issuer DocumentationProvide audited financial statements, notarized declarations, and smart contract details for public offerings.
- 4Ensure Stablecoin ReservesIf issuing stablecoins, maintain 1:1 reserve backing with international assets and submit monthly affidavits.
- 5Comply with Qualified Investor RulesRestrict private offerings to qualified investors with at least USD 500,000 in investable assets.
Sources
- Digital Asset Service Providers Regulations · 2024-04-22
- Regulation of Digital Asset Service Providers 2023 · 2024-04-22
- Regulation on the Issuance of Public Offerings of Stablecoins · 2024-04-22
- Regulations for Issuance of Stablecoin Public Offerings · 2024-04-22
- Circular 009-2025: Implementation of AML Verification Fees for New PSAD Registration Applications · 2025-12-03
- Digital Asset Issuance Law - Ley de Emisión de Activos Digitales · 2024-04-22