El Salvador’s Legislature Votes to Adopt Bitcoin as Legal Tender

Written by on 06/09/2021

El Salvador’s Legislature Votes to Adopt Bitcoin as Legal Tender

Via CoinDesk:

El Salvador officially recognizes bitcoin (BTC, +4.29%) as legal tender.

In an early Wednesday vote, a supermajority of the nation’s legislature voted in favor of President Nayib Bukele’s proposal for the Latin American nation to adopt bitcoin. The president intends to sign later tonight or early in the morning.

Sixty-two members of the legislature voted in favor of the bill, with 19 opposed and three abstentions.

Bukele provided further details about his vision, pitched as an effort to boost financial inclusion in a country where a scant 30% of citizens have access to financial services, in a Twitter Spaceconversation early Wednesday morning hosted by Nic Carter of Castle Island Ventures and Coin Metrics. Users won’t necessarily have to use a government wallet, he said.

The bill will mandate all businesses to accept bitcoin for goods or services, but the government will act as a backstop for entities that aren’t willing to take on the risk of a volatile cryptocurrency, he said.

A trust that the government will set up at the Development Bank of El Salvador to instantly convert bitcoin to U.S. dollars will assume merchants’ risk, he said. It will hold about $150 million in dollars in the trust fund.

“If there’s an ice cream parlor, he doesn’t really want to take the risk, he has to accept bitcoin because it’s a mandated currency but he doesn’t want to take the risk of convertibility, so he wants dollars deposited in his banking account, when he sells the ice cream, he can ask the government to exchange his bitcoin to dollars,” he said. “Of course he can do that in the markets also but he can ask the government to do it immediately.”

The Development Bank’s trust fund would sell some of the bitcoin it receives for dollars to replenish the fund.

Government officials from El Salvador will meet with the International Monetary Fund in the coming days to discuss the plan.

Bukele also indicated that the government may promote bitcoin mining. El Salvador has already been hoping to draw businesses with excess geothermal energy, and while the government isn’t specifically looking to the bitcoin mining industry to fill that need, it is one such sector that could benefit, he said.


Our Readers And Listeners Keep Us In Print & On The Air!

Click here to subscribe to The CRUSADE Channel’s Founders Pass Member Service & Gain 24/7 Access to Our Premium, New Talk Radio Service. www.crusadechannel.com/go

What Is The Crusade Channel?

The CRUSADE Channel, The Last LIVE! Radio Station Standing begins our LIVE programming with our all original CRUSADE Channel News hosted by Ron Staffard. Coupled with Mike “The King Dude” Church entertaining you during your morning drive and Rick Barrett giving you the news of the day and the narrative that will follow during your lunch break!

We’ve interviewed over 300 guests, seen Brother Andre Marie notch his 200th broadcast of Reconquest; The Mike Church Show over 1200 episodes; launched an original LIVE! News Service; written and produced 4 Feature Length original dramas including The Last Confession of Sherlock Holmes and set sail on the coolest radio product ever, the 5 Minute Mysteries series! We were the ONLY RADIO outlet to cover the Impeachment Trials of President Trump from gavel to gavel!

Now that you have discovered The Crusade, get30 days for FREE of our premium News-Talk Radio service just head to:

https://crusadechannel.com OR download our FREE app: https://apps.appmachine.com/theveritasradionetworkappIti-

Did you know about laboratory in Bitcoin? If you are interested in supporting small business, be sure to check out the official store of the Crusade Channel, the Founders Tradin Post! Not to mention our amazing collection of DVD’s, Cigars, T-Shirts, bumper stickers and other unique selection of items selected by Mike Church!

Tagged as

Reader's opinions

Leave a Reply


CRUSADE Channel Previews

CRUSADE Preview-Call 844-527-8723 To Subscribe

Current track

Title

Artist