Bitfinex to Issue Bitcoin Mining Notes in El Salvador

Bitfinex Securities plans to launch Blockstream Mining Note 2 (BMN2) in El Salvador in the first quarter of 2025. This tokenized financial product allows investors to earn Bitcoin mining revenue by holding tokens.

Following the Success of BMN1

This new initiative comes after the success of Blockstream Mining Note 1 (BMN1). Issued in Luxembourg, BMN1 generated over 1.212 BTC in returns for investors over three years.

Lower Investment Threshold

The investment threshold for BMN2 in El Salvador will be lower than in Luxembourg, where the minimum investment was $100,000. Bitfinex Securities is collaborating with El Salvador’s National Digital Assets Commission (CNAD) to secure approval for BMN2 under local law.

Confidence in BMN2’s Potential

Jesse Knutson, Chief Operating Officer of Bitfinex Securities, expressed strong confidence in BMN2. He highlighted BMN1’s past performance as a positive indicator. “BMN2 is one of the few tokenized products with a track record. Investors can see the results of BMN1. This will be a direct issuance on our platform, allowing trading,” he said.

Accessible Entry Point for Investors

El Salvador’s Digital Assets Law is expected to make it easier for investors interested in BMN2. Bitfinex Securities aims to establish El Salvador as a central hub for new capital markets by 2025. The company plans to introduce more tokenized products, including real estate shares, bond issuances, and the first tokenized funds in the coming months.

Future Plans for Tokenized U.S. Treasury Bonds

Additionally, Bitfinex Securities plans to offer tokenized U.S. Treasury bonds by the end of 2024. This will utilize El Salvador’s Digital Asset Issuance Law. These steps are part of a broader effort to position El Salvador as a global leader in the cryptocurrency space.

Participation in the Plan B Forum

Bitfinex Securities also took part in the Plan B Forum. This forum discusses token issuance, Bitcoin adoption, digital asset regulations, and the mining industry. Under President Nayib Bukele’s leadership, El Salvador has actively embraced cryptocurrencies, becoming the first country to recognize Bitcoin as legal tender in 2021.

Strengthening El Salvador’s Financial Position

Moreover, Bitfinex Derivatives, a subsidiary of Bitfinex, recently moved to El Salvador after obtaining a Digital Asset Service Provider license. This relocation marks a significant milestone for the company and enhances El Salvador’s status as an emerging financial center.