El Salvador’s biggest bank is now accepting bitcoin payments

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Clients of El Salvador’s largest bank, Bancoagrícola, will now have the ability to pay down their loans and bank card payments in bitcoin. They can even now use the cryptocurrency to buy items and providers from retailers linked to the bank’s fee gateway.

Bancoagrícola, based in 1955 and now owned by Grupo Bancolombia, has tapped New York-based fee community Flexa to allow the payments in bitcoin through its cell app. 

According to an announcement from Flexa, the bank’s prospects will have the ability to pay U.S. dollar-denominated loans and bank card balances with bitcoin at “the precise honest market charge, with none extra price or unfold.” The possibility is designed to work with any pockets appropriate with the Lightning Network, together with El Salvador’s official pockets Chivo.

Merchants in El Salvador which are set as much as settle for payments utilizing the Bancolombia Group’s Wompi gateway can settle for bitcoin via Flexa as nicely. Those payments are largely on-line, for now, Flexa CEO and co-founder Tyler Spalding advised The Block. However, the corporate is additionally planning to announce compatibility with different fee gateways, Spalding mentioned. Flexa is additionally wanting to make use of its know-how to streamline the method of accepting bitcoin-based payments at brick-and-mortar shops.

“The entire idea with Flexa is we wish to make it simply as straightforward, if not simpler, than some other payments you’re already used to,” Spalding mentioned.

Bancoagrícola is simply one of many many corporations in El Salvador that has needed to tailor its fee strategies to incorporate bitcoin, as required underneath a landmark regulation concerning the cryptocurrency that went into impact on Sept. 7. Businesses working in El Salvador, together with multinational chains like Starbucks and McDonald’s, are now required to just accept bitcoin as a type of fee if they’ve the know-how to take action. Consumers, then again, have the choice of whether or not they wish to pay in bitcoin or stick to the native U.S. greenback foreign money.

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About the Author: Daniel