September 19, 2021

El Salvador's president wants to make bitcoin legal tender

El Salvador's president wants to make bitcoin legal tender

El Salvador's President Nayyib Bukele announced that he would introduce a bill that would equate bitcoin to the national currency.

He stated this in a video message thatposted on his Twitter account. In the short video, Nayyib Bukele says he plans to submit a legislative proposal to the government to make bitcoin legal tender.

According to him, such a decision should inspire innovators to rethink the future of the financial sector, which in the end could benefit billions of people. all over the world.

Since the political party of the President "Newideas ”has a majority of votes in the unicameral legislature of the country, the proposed innovations are likely to be approved. As part of this initiative, the government has already begun to cooperate with the crypto startup Strike.

The passing of the Bukele bill can doEl Salvador is the first state to officially recognize Bitcoin. This decision of the president is due to the deplorable state of the country's economy, 70% of whose residents do not have access to banking services.

Considered at the Bitcoin 2021 conference inA Miami snippet of Nayib Bukele's proposal, it says that legalizing the leading cryptocurrency should mitigate the negative impact of central banks, which can print new money at will and in unlimited quantities. Since the economy of El Salvador depends on the US dollar, this paragraph primarily implies the Fed's actions aimed at suppressing emerging markets.