El Salvador’s Finance Minister, Alejandro Zelaya, said that using Bitcoin (BTC) as a legal currency is beneficial. In El Salvador, in September 2021, BTC was adopted as the legal currency. Things are going well in the crypto economy of El Salvador, the first country to legalize the leading cryptocurrency.
Bitcoin Also Contributes to El Salvador’s Population
Despite the huge drop in Bitcoin over 50 percent, the system works normally in El Salvador.
El Salvador, which has bought 2,301 BTC with a total value of 103.9 million dollars since September of last year, insists on using BTC despite the criticism. The country is ignoring the International Monetary Fund’s (IMF) call to “remove Bitcoin from its legal currency” in January.
As of the beginning of July, the value of Bitcoins in the hands of El Salvador had decreased by more than 55 percent to $ 46.6 million. With the recent surge in crypto markets, this number has increased to $55.3 million.
In an interview with Bloomberg on Wednesday, Alejandro Zelaya stated that the adoption of Bitcoin is beneficial for the unbanked population of El Salvador, saying:
“Bitcoin attracts investment. It gained ground and became a phenomenon that will continue to exist for years to come. “People have shown how scared they were of things like websites and digital business in previous years, but over time we’ve seen how technology keeps up with reality.”
El Salvador had planned to issue a $1 billion BTC bond earlier this year, but was delayed due to adverse market conditions. Zelaya said the government would reconsider this when conditions improve.
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