- El Salvador is the first country to adopt BTC as a legal tender.
- Bitcoin laid out the map of ‘Bitcoin City’ on May 10.
President Nayib Bukele announced on Twitter that El Salvador is meeting up with 44 countries on Monday. 32 central banks and 12 financial authorities across the globe gather to discuss the significance of adopting Bitcoin legally into the global economy.
Central banks of Namibia, Egypt, Kenya, Nepal, Ghana, Pakistan, Nigeria, Ecuador, Bangladesh, and others as mentioned in the President’s tweet thread are part of the assembly. Advancing financial inclusion in these developing economies is the prime mission.
Last year, El Salvador became the first nation to adopt Bitcoin as its legal tender. In April, the Central African Republic (CAR) stepped up as the second. Panama is queued up as the third and will complete the adoption sooner.
Blind Obsession Over Bitcoin
The nation has invested hundreds of millions of dollars from taxpayers’ money to purchase Bitcoin. It recently bought 500 BTC during the dips when the king crypto traded at $30,744 USD. However, these acquisitions worsened the country’s budget gaps and debt crisis.
El Salvador availed a loan of $1.3 billion USD from the International Monetary Fund (IMF) last year. The IMF warns the President’s determined investments in the highly volatile asset. It urges the nation to drop Bitcoin’s legal tender. As per the country officials, it had lost 33% of its $100 million worth of bitcoin holdings.
“Bitcoin City” is on top of E Salvador’s bucket list. The layout of this plan maps a tax-free mining hub where miners use thermal power from a volcano to mine BTC.
Despite the harsh criticisms, El Salvador is determined to transform into the “Singapore of Latin America”. The President, being the biggest fan of BTC, believes that Bitcoin wealth can aid in eradicating the country’s indebtedness and poverty.