El Salvador has moved forward in its journey toward approving its bill dealing with digital securities. The bill will permit the issuance of Bitcoin bonds.
The legislative assembly has given the green signal for the bill related to digital securities. As a result of the bill’s implementation, El Salvador will be permitted to release bonds backed by the primary crypto.
El Salvador Steps forward in Approving Its Bill for Digital Securities by Permitting Bitcoin Bonds
The initial proposal of the respective bill was witnessed in the parliament of El Salvador back in November 2022. Nonetheless, the bill remained successful in becoming unanimously approved.
The favoring votes equaled 62. The opposing votes numbered 16. The digital securities bill is expected to develop a legal order providing legal approval for the transaction activities in the case of the digital assets utilized in the public offerings’ issuance.
Reports from the local media mentioned that the bill’s chief target is to enable the release of “Volcano Bonds”. On the other hand, those opposing the latest bill have also justified their stance.
They suggest that the approved bill does not provide the answer to the issues being experienced by the El Salvadoran public. In addition to the rest of the actions taken by the bill, it will also serve as legislation covering the regulation of cryptocurrency.
The bill will establish a Bitcoin Fund Administration Agency. The respective agency will be devoted to the investment, safekeeping, as well as administration of the funds related to the digital asset offerings within the jurisdiction of El Salvador.
The agency will also be responsible for the protection of the yields made by the aforementioned offerings. This endeavor is not El Salvador’s initial move in the direction of offering a facility to crypto users.
It has been consistently making such moves since its Bitcoin adoption. Especially, the country’s president “Nayib Bukele” has been paying a lot of attention to the top crypto asset.
An important step taken by the country in this direction was the installation of more than 200 Bitcoin ATMs. After that, Bukele additionally declared to build “Bitcoin City”. The project was focused on using renewable energy from volcanoes to mine Bitcoin.
A billionaire Tim Draper has made a positive anticipation for El Salvador in terms of its crypto adoption. The billionaire mentioned that the Bitcoin investments of the country would turn it into one of the richest nations in the world.
On the other hand, the reports have brought to the front in the previous year that the majority of people owning Chivo wallets (the Bitcoin wallets launched by El Salvador) had abandoned them.
Nayib Bukele Keeps on Advancing His Salvadoran Bitcoin Strategy
Keeping in view the decreasing rate of Bitcoin adoption across El Salvador, the country has moved toward educating people regarding the promising crypto.
The country introduced educational programs to expand awareness regarding Bitcoin by educating BTC-related courses to the students. The president of El Salvador also declared that the country will keep on purchasing Bitcoin.
His confidence in Bitcoin (BTC) is very strong so much so that he has a strategy to purchase 1 Bitcoin every day. This stance of his has allured a lot of condemnation from the country’s media.
He commented on a report published by the well-known media outlet “Bloomberg.” The report categorized the Bitcoin project of El Salvador as a failed experiment. Bukele categorized the respective report as a bunch of lies.