Bancoagricola, the largest bank in El Salvador, is now accepting Bitcoin to pay off debts arising from the use of its instruments, according to a public relations statement. The institution has partnered with Flexa, a payments network, to add cryptocurrency features to their software. Bancoagricola also enables merchants who use Wompi services (a digital payment processor) to receive Bitcoin for goods and services sold.
Bancoagricola hugs Bitcoin
Bancoagricola, the largest financial institution in El Salvador, was one of the first to introduce bitcoin support for its financial instruments. This means that its customers will be able to use bitcoin to pay for financial instruments (such as loans, mortgages, and credit card debt) in compliance with the Bitcoin Law.
Customers of the bank who use a digital payment gateway called Wompi can also receive payments in Bitcoin through this service. Carlos Mauricio Novoa, COO of Bancoagricola said:
We are excited to be the first financial institution in El Salvador to give our customers bitcoin access across our full range of financial products and to improve financial inclusion.
The bank also announced that it would fully support Bitcoin payments through its PoS terminals this year.
Flexa partnership in El Salvador
To achieve this goal, Bancoagricola has partnered with Flexa, a digital payment platform. This enabled the institution to easily integrate Bitcoin-related services into the platform. Flexa will be integrated into Bancoagricola’s PoS network so customers can receive Bitcoin payments directly. Banks and other companies are starting to add Bitcoin to their payment network to meet legal tender status approved for Bitcoin on June 9th.
Trevor Filter, the co-founder of Flexa, said:
The opportunity to work with such innovative and world-class organizations as Bancoagrícola and Grupo Bancolombia so that we can support millions of Salvadorans with better payment technology in such a tangible and impactful way is just incredible.
Bancoagricola has more than 1,000 customer attention points across the country and employs more than 5,400 people for customers. The impact that this involvement can have on the settlement of citizens’ debts is therefore important. It is expected that more banks will announce several deals in the coming days in order to accommodate customers under the promised law.
Despite all this movement around Bitcoin, most Salvadorans (seven out of ten) are against the use of Bitcoin as legal tender, according to a survey organized by the University’s Institute for Public Opinion.
What do you think of the integration of Bitcoin services through Bancoagricola in El Salvador? Let us know in the comments section below.
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