Bitcoin Official Currency In El Salvador


Today, Bitcoin, along with the U.S. dollar, is the official currency of El Salvador, as the Central American country was the first to accept cryptocurrencies as legal tender. Bitcoin can now be used as legal tender for any business that supports and processes bitcoin transactions, months after El Salvador’s Congress approved it. Acceptance means the company is expected to accept bitcoin payments alongside the US dollar, which has been the official currency of El Salvador since 2001 and will remain legal tender.

Every Salvadoran received $30 in Bitcoin (the U.S. dollar is El Salvador’s other official currency) and can now use it to shop or pay taxes. Try refreshing your browser or El Salvador will be the first country to adopt Bitcoin as the official currency for annual transfer fees.

SAN SALVADOR, El Salvador — El Salvador became the first country to accept Bitcoin as legal tender on Tuesday, but adoption stalled in the early hours, with President Naib Bukele saying the digital wallet used for transactions is down. On Tuesday, he faced some obstacles. The first hours of Bitcoin’s official status in El Salvador were marked by technological disruptions, with El Salvador first opening up its digital wallet app to residents and consumers. On June 5, Salvadoran President Nayib Bukele announced that Bitcoin would become legal tender in El Salvador.

Prior to the launch, El Salvador bought 400 bitcoins, which helped push the price of the currency above $52,000 for the first time since May, according to President Nayib Bukele. As bitcoin prices fell during the Chivo hiccups, Bukele said El Salvador bought another 150 bitcoins at a “discount” after buying 400 bitcoins the day before. Three minutes before midnight local time, El Salvador’s populist president, Nayid Bukele, tweeted that the country was about to “make history” with adoption, after previously confirming it had bought 400 bitcoins, equivalent to about $20.9 million at today’s prices. .

Ahead of its rise, El Salvador has already installed its digital wallet Chivo ATMs that will allow you to convert bitcoins into dollars and withdraw them without fees, but the youth on Monday tried to temper expectations of quick results and asked for patience. Ahead of the historic move, El Salvador has installed ATMs that will allow bitcoins to be converted into dollars and withdraw them commission-free from El Salvador’s national digital wallet.

El Salvador’s President Naib Bukele is promoting a decentralized digital currency as a way for Salvadorans to reduce taxes on sending and receiving remittances, which account for 22% of El Salvador’s GDP, mostly in U.S. dollars, and use it as a way to gain 70 percent that no banks get Salvadoran percentage of financial services. According to the Associated Press, the country’s president also said that using the bitcoin cryptocurrency would be an efficient way to move the billions of dollars in remittances that Salvadorans living abroad send them each year. President Naib Bukele said that Bitcoin will help attract investment and save El Salvadorans money when they transfer their U.S. income to relatives in El Salvador. El Salvador President Naib Bukele also emphasized that since decentralized digital currencies are legal tender and not investment commodities, foreigners who move to El Salvador will not have to pay El Salvador’s capital gains tax on any profits realized in the activities of the increase in the value of the cryptocurrency. .

New Jersey-based Bitcoin YouTuber Mark Falzon, who visited San Salvador to document the launch, said Salvadoran taxpayers are still paying their bills despite opposition to Bitcoin law and Article 7 of the Bitcoin law. It states that all economic players in the country should accept decentralized digital currencies if they have the technical capabilities. Some analysts worry that the U.S. addition could cloud El Salvador’s prospects of pushing for a more than $1 billion financial deal with the International Monetary Fund. El Salvador is one of the poorest countries in the region, and Bukele is seeking a $1 billion program from the International Monetary Fund, raising concerns about adoption.

SAN SALVADOR – El Salvador on Tuesday became the first country to accept bitcoin as legal tender, in a move that proponents of the real-world experiment say will cut fees on billions of dollars sent from abroad, but what do critics say? may contribute to money laundering. Analysts fear that the introduction of cryptocurrencies could facilitate money laundering in El Salvador. Photo by José Cabezas/Reuters file Doubt suggests that bitcoin could increase regulatory and financial risks for the Central American country, with polls showing El Salvadorans wary of bitcoin volatility. Critics warn that “the currency’s opacity could attract more criminal activity to El Salvador, and wild fluctuations in its value could quickly wipe out users’ savings.”

Nowegian translation at Bitcoin offisiell valuta i El Salvador.

This post was proofread by Grammarly.

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