Bancoagrícola, the largest financial institution in El Salvador, has partnered with digital payments gateway Flexa to enable Bitcoin (BTC) payments transfers for the bank’s customers, including retail and merchant clients.
It has been reported that Bancoagrícola customers can make credit card payments denominated in United States dollars via Flexa or other Lightning Network-enabled wallets like Chivo and Éclair. According to the release, these payments will not attract any additional fees and will cover loans and merchant goods, among others.
However, Flexa recently added support for Lightning payment with the feature reportedly aimed at merchant clients.
In August, the Central American Bank for Economic Integration (CABEI) stated that adopting Bitcoin as legal tender could impact remittances in the region positively. At the time, the CABEI promised to assist the country in building a technical framework for BTC adoption and complying with international anti-money laundering standards.
Thus, El Salvador’s Bitcoin Law is not without opposition as a majority of the country’s population is reportedly against the move. Global financial entities like the International Monetary Fund have also warned against adopting Bitcoin as a national currency.