El Salvador Launches Bitcoin Bank

[Mikey07]

Hello bitocointalk 👋

I saw his on X (former twitter) and wants to share it here:
https://talkimg.com/images/2025/09/27/UQVAzg.jpeg
https://x.com/BitcoinNews21M/status/1971439588716707936?t=T70OTXeO8SommhpGWSfxrw&s=19

El Salvador is really doing great away from legal tender now a Bank! I give El Salvador their flowers !

[Outhue]

Bitcoin don't need a physical location and I don't see any good reason for them to do this, but the government is very good at one thing though, that's taking advantage of the public's fund, if they are creating a Bitcoin bank then it is for no other reasons than what they have been doing before.

Who would dare use banks for Bitcoin reasons? Anyone here? Because it can never be me, a physical Bitcoin bank breaks all the reason why Bitcoin existed in the first place, peer to peer, decentralisation, etc. You must be dumb for such thing to confuse you enough and trust your Bitcoin with the banks.

[Zlantann]

Hello bitocointalk 👋

I saw his on X (former twitter) and wants to share it here:


El Salvador is really doing great away from legal tender now a Bank! I give El Salvador their flowers !

Information from social media sources might not be reliable. Adding a link from a reputable news outlet would be better. And the information is "El Salvador to launch a Bitcoin Bank soon". The title of your thread is wrong because the bank has not been launched yet.

Bitcoin don't need a physical location and I don't see any good reason for them to do this, but the government is very good at one thing though, that's taking advantage of the public's fund, if they are creating a Bitcoin bank then it is for no other reasons than what they have been doing before.

Who would dare use banks for Bitcoin reasons? Anyone here? Because it can never be me, a physical Bitcoin bank breaks all the reason why Bitcoin existed in the first place, peer to peer, decentralisation, etc. You must be dumb for such thing to confuse you enough and trust your Bitcoin with the banks.

Bitcoin was created to remove middlemen in the financial system. But there is still a segment of the crypto population that wants to depend on centralised platforms. The government is simply offering conventional banking services using Bitcoin. They would provide exchange services, give loans and credit guaranteed by crypto assets, and offer consulting and support to customers on digital investments. These centralised services do not portray the true nature of Bitcoin because "not your keys, not your coin".  

[Alvin_talk]

El Salvador is really doing great away from legal tender now a Bank! I give El Salvador their flowers !

Do you really think so? What is the essence of decentralisation if you would still need a bank?

So far as am concerned this is a great threat to decentralisation. Its just thesame as storing your coins in a custodial wallet which means they will control your keys.

Remember, "Not your keys not your coins"

[bitbollo]

I have no idea on what a "bank" should work for bitcoin. Did they will provide some interest, financial product or something similar for people depositing or requesting their services? If they are able to offer basic (and free) service for all citizen this is a great achievement, for sure really helpful for them.
Unless we have all details it could be not really easy to understand if this is a new improvement or not. (of course... not your keys...)

[LayerzWallet]

I have no idea on what a "bank" should work for bitcoin. Did they will provide some interest, financial product or something similar for people depositing or requesting their services? If they are able to offer basic (and free) service for all citizen this is a great achievement, for sure really helpful for them.
Unless we have all details it could be not really easy to understand if this is a new improvement or not. (of course... not your keys...)

This is the real question at hand. What exactly does a bitcoin bank do? More importantly what service do they provide that has more benefit than risks for a user? In traditional banks its a simple answer 1. lending via fractional reserve (not good for btc), 2. safekeeping with government safeguards in most jurisdictions (not needed in Bitcoin) 3. ability to transact across geographic regions (already improved on in Bitcoin)

So what do they actually do?

[De Gramor]

Bitcoin don't need a physical location and I don't see any good reason for them to do this, but the government is very good at one thing though, that's taking advantage of the public's fund, if they are creating a Bitcoin bank then it is for no other reasons than what they have been doing before.

Who would dare use banks for Bitcoin reasons? Anyone here? Because it can never be me, a physical Bitcoin bank breaks all the reason why Bitcoin existed in the first place, peer to peer, decentralisation, etc. You must be dumb for such thing to confuse you enough and trust your Bitcoin with the banks.

I could totally say this new Bitcoin bank was effectively a good idea at some point because it will make a lot work more easier for many who do not understand the crypto currency to come receive their funds stress free. And truth be told this could also attracts more crypto investors and many individuals also.
But other way round it brings a lot of risks along side it because the market is full of ups and downs and bitcoin market can be unpredictable at times so many citizens who does not fully understand the crypto space will be left in regrets. They should try focus on more education and security for the benefits of other.

[michellee]

I don't want to use the services if they're available. I feel it is better that I keep my Bitcoin in my wallet and control by myself. That will be safer than letting other parties manage my Bitcoin. Not to mention the trust in the banks that is reduced because the banks will be in the hands of the government to monitor people's transactions. Maybe the banks can provide interest but that doesn't mean for me because I don't feel confident using their services to save my Bitcoin. I prefer to handle my own wallet although I don't get interest but I can make a big profit in the future.

[Lucius]

~snip~
El Salvador is really doing great away from legal tender now a Bank! I give El Salvador their flowers !

News about some kind of BTC bank that will supposedly attract billions of $ investments has been circulating for years, but regardless of whether there is any truth in it, the idea is really stupid and goes against the very idea behind Bitcoin. It's hard for me to understand why people are so fascinated by every piece of news that comes out of that country, but no one cares that Bukele has achieved some very negative things during his term.

The poverty rate has exceeded 30%, public debt at the beginning of this year was around $32 billion, of which $11 billion was added by Bukele himself - while at the same time the pension system is threatened with collapse. And yes, we shouldn't forget the IMF, which determines whether the country will survive or completely collapse - otherwise everything else is great

[BlackBoss_]

News about some kind of BTC bank that will supposedly attract billions of $ investments has been circulating for years, but regardless of whether there is any truth in it, the idea is really stupid and goes against the very idea behind Bitcoin. It's hard for me to understand why people are so fascinated by every piece of news that comes out of that country, but no one cares that Bukele has achieved some very negative things during his term.

It's interesting with people who don't know well about Bitcoin and importance of Bitcoin private keys on securing their bitcoins. However, with people who only have fundamental knowledge about Bitcoin and Bitcoin private keys, they will feel a lot of unnecessary risk with this "Bitcoin Bank".

With Bitcoin private keys, Bitcoin holders already have their own Bitcoin banks and don't need any third-party Bitcoin bank like this one. With non custodial wallets, they have private keys, own Bitcoin banks, and without any engagement of third party Bitcoin banks.

Even the Ledger Recover service is terrible idea so this Bitcoin bank is only a worse idea.

[Ever-young]

I don't want to use the services if they're available. I feel it is better that I keep my Bitcoin in my wallet and control by myself. That will be safer than letting other parties manage my Bitcoin. Not to mention the trust in the banks that is reduced because the banks will be in the hands of the government to monitor people's transactions. Maybe the banks can provide interest but that doesn't mean for me because I don't feel confident using their services to save my Bitcoin. I prefer to handle my own wallet although I don't get interest but I can make a big profit in the future.

I share in your thoughts mate. It’s always safer when people prioritize self custody as regards to Bitcoin storage, because you can avoid a lot of thing, when you store your bitcoin in a bank, it’s just same as keeping your bitcoin in a centralized exchange, meaning your funds could be stolen, frozen or even monitored by the government which goes against one of the core principles of Bitcoin, decentralization and financial sovereignty, I mean that was why bitcoin was created in the first place, and not to just hand it back to an institution to help you store it while everyone is capable of safely storing their Bitcoins.

[aoluain]

I dont know what to think of this, my brain is thinking that the two complete opposite
entities are married together, It shouldnt work and goes against what most of us
would be thinking...

Hasnt Michael Saylor talked about something like this before? about instead of
selling your Bitcoin it might be possible to borrow against it - AKA using a
"Bitcoin Bank"

I'm guessing you deposit your BTC in the bank and buy a house etc. on the strength of it?

[Byebyebtc]

In 2021 September El Salvador made a surprising move by embracing crypto.
 it is indeed a bold move, but it will be an experiment that others and definitely them will learn from on a long run, we await to see the outcome of this decision made by El Salvador

Although was a very bold move, as a matter of fact it will still be of there are benefit in aspect of empowerment employment and investments. But they are still a lot more to consider like in aspect of volatility is very concerning, security too is a major concern but we await maybe in 10 to15 years time we shall see the outcome of this wonderful decision made by El Salvador

[Solosanz]

I think they should create a miniature or statue to represent Bitcoin Bank instead of create a real building of Bitcoin Bank. Since the building is big, they should be people who gonna work in this building right? I wonder what the service they offer, it's like a complete wasting money.

I'm guessing you deposit your BTC in the bank and buy a house etc. on the strength of it?

A mortgage company?

[Aanuoluwatofunmi]

Anything is possible as long as it is El-Salvador, the adoption of bitcoin there is coming each time with a new dimension because they  already created a robust use, which is what we wanted from many other countries to also take into consideration by creating an enabling platform that helps the use of bitcoin for everyone in the country, some leaders should take this as a learning opportunity from all that El-Salvador is doing and apply to their own case as well.

[aylabadia05]

It is impossible for Bank Bitcoin to be like a Fiat currency bank service. People come to the FIAT bank to complete the administration process of deposits, loans and complaints due to transactions. I can imagine that people come to Bank Bitcoin like this because Bitcoin transactions do not require physical administration.

Consultation on how to use Bitcoin transactions may be yes, but we have preceded all of them, even with people in this forum have long been helping people out there about how to use bitcoin to other technical matters.

[Mahiyammahi]

Hello bitocointalk 👋

I saw his on X (former twitter) and wants to share it here:

https://x.com/BitcoinNews21M/status/1971439588716707936?t=T70OTXeO8SommhpGWSfxrw&s=19

El Salvador is really doing great away from legal tender now a Bank! I give El Salvador their flowers !

Op the image you shared it's probably a photoshop or a rendered image. It has no real basis. Actually this was used as a conception of Bitcoin Bank but as like our traditional bank it's still not possible to build one. In traditional bank we mostly use it just for keep our money safe and we don't wanna carry bags of money with us all the time , so for that reason we keep them on the bank , so that bank will keep them secure for us and we can use them whenever as we like to use our money.

But for bitcoin, it's already secure and safe we don't need to meddle with a 3rd party. Invention of Bitcoin, Block chain technology was only for this reason. But I think we could have a real life Bitcoin bank , which will operate like Bitcoin ATMS. People can withdraw fiat for their Bitcoin, They can stake their bitcoin for the reputated Bitcoin bank and earn interests on it. But I think this will violate the first rule for having or owning your bitcoin. Alway keep the bitcoin for you. Not your keys not your Bitcoin.

[kotajikikox]

Hello bitocointalk 👋

I saw his on X (former twitter) and wants to share it here:

https://x.com/BitcoinNews21M/status/1971439588716707936?t=T70OTXeO8SommhpGWSfxrw&s=19

El Salvador is really doing great away from legal tender now a Bank! I give El Salvador their flowers !

Well they are the first one to make Bitcoin a legal tender so we should expect that they should be the ones to make a bank offering bitcoin. But I wonder how this will work? Can they deposit or withdraw bitcoin from here? How safe can it be knowing bitcoin’s popularity?

[Felicity_Tide]

This story looks familiar. I might have come across it on X before now, so I want to believe that it is not new. I honestly think that the whole Idea is a shitty one. People just keep looking for ways to merge centralization with Bitcoin. What's the point of introducing another custodial service, calling it a bank, when Cex has proven to have it's own flaws over the years?. Can't believe we are seeing the complete opposite of what Bitcoin was never meant to be.

What are we going to see next?... Probably a Central Bitcoin Bank that governs all Bitcoin banks across the globe. How pathetic...

[Ivystar5]

Truth is that if truly Bukele is doing all this regarding Bitcoin and his country, I personally don't see it as an achievement because definitely the country is still suffering and the government is sophisticating in the country and his building a history for bitcoin instead of economy. bitcoin basically is not fiat and shouldn't be having a bank like they are making it now, I'm just not understanding how it's becoming for the bitcoin world.