Bitcoin Becomes Legal Tender in El Salvador

What was regarded as a pipe dream a few years ago has now come true: Bitcoin is becoming an official currency in a country. 

Nayib Bukele, the President of El Salvador, has approved the appropriate bill within a few days. 

Meanwhile, other South American politicians were enthusiastic about Bitcoin on Twitter and changed their profile pictures to a ‘laser eyes’ meme.

Bitcoin in El Salvador: Big Changes Are Coming 

The South American country El Salvador announced its plans to use Bitcoin as a ‘legal tender’ in its own country at the Bitcoin Conference in Miami. A legal tender is a nationally recognized currency that must be accepted by companies and dealers. A few days have passed since the announcement, but the bill has already been passed by the Congress of El Salvador.

El Salvador is a relatively poor country, 70% of the population isn’t integrated into the traditional financial system. The situation should change through a new infrastructure, which involves a Strike company under the CEO Jack Maller. There are already some options to pay for goods and services with Bitcoin in El Salvador. The ‘Bitcoin Beach’ in El Zonte is particularly worth mentioning. Practically an entire village here adhere to Bitcoin standards.

In addition, this step should of course also attract foreign investors and entrepreneurs. But El Salvador is also becoming financially active itself, taking into account Bitcoin mining through volcanic energy, or active investing in this sector. How quickly the crypto industry will develop remains to be seen.

Nayib Bukele: Criticism of the President of El Salvador

Some European critics point out that President Nayib Bukele isn’t a very fair man. He influenced votes in Congress by bringing soldiers with him, dismissed five Supreme Court judges, and is said to have made a pact with the MS-13 gang.

El Salvador was one of the countries with the highest murder rate ever before Nayib became president of the country. The situation has changed, but according to journalists, the pact with MS-13 made it possible. It’s therefore not clear what motives that weren’t mentioned could be behind the decision of the president.

Central and South America: The Growing Importance of Bitcoin

After the announcement of El Salvador, the news spread very quickly, particularly via the social network Twitter. Representatives from other countries quickly picked up the trend. For example, some politicians from Brazil, Panama, Mexico changed their profile pictures to well-known ‘laser eyes’ memes. This Bitcoin meme caused a sensation earlier this year and now seems to enjoy its hype in South and Central America. There were also announcements that suggest that the situation is being taken seriously.

What do you guys think about the latest news? Feel free to share your thoughts in the comments. Have a great weekend!

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