Bitfinex And El Salvador Issue First Token Bond To Boost Tourism

Key Points:

• Bitfinex Securities is launching a $6.25 million USD hotel project in El Salvador.
• The project is the first licensed under El Salvador’s new Digital Asset Law.
• The initiative is projected to create 6,000 jobs and boost tourism.

According to an official announcement, Bitfinex and El Salvador collaborate on a token bond project, raising $6.25M USD for a new hotel. The project will create jobs and aid the economy.

iFinex, Bitfinex’s parent company, collaborates with the El Salvador government to develop cryptocurrency related laws, regulations, and guidelines.

Bitfinex And El Salvador Collaborate on Cryptocurrency Laws

Bitfinex Securities, a leading stock trading platform, is launching El Salvador’s inaugural digital asset securitization project, a token bond issuance to construct a new Hampton by Hilton hotel at the international airport.

The project, raising $6.25 million USD, is the first to be licensed under El Salvador’s Digital Asset Securities Law. The venture includes a five-story building with 80 rooms and amenities like a swimming pool and restaurant.

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Impacts and Opportunities of the New Digital Assets Law

The capital mobilization details involve an interest rate of 10% per annum over a five-year term, with a minimum investment of $1,000 USD. The mother token, HILSV, will be exchanged on the Liquid Network, a Bitcoin sidechain.

Paolo Ardoino, CTO of Bitfinex Securities, labels the project as the first of its kind, unlocking new opportunities. Jesse Knutson, COO, emphasizes the job creation aspect, estimating 1,000 during construction and 5,000 direct and indirect jobs once operational.

Roberto Laguardia, president of Inversiones Laguardia, sees the new digital assets law as a means to open previously inaccessible markets, boosting tourism and benefiting El Salvador’s economy.