El Salvador acquired about $21 million in bitcoins on Monday, President Nayib Bukele announced, backing the crypto market before making history on Tuesday through the first country in the world to officially adopt the virtual currency as legal tender.
El Salvador bought its first 400 bitcoins in two batches on Monday, priced at $21 million above the bitcoin price at the time of the announcement, according to a series of tweets from Bukele.
Bukele said the country intended to buy “much more” when the first salvo of two hundred bitcoins was announced.
The acquisition comes as El Salvador is going back in history as the first country to legalize Bitcoin on Tuesday.
The law enacting the exchange, passed by an overwhelming majority in June, places bitcoin across the U. S. USA as the national currency of El Salvador.
Bukele said he hopes the initiative will spur foreign investment, monetary inclusion and create jobs, and that Bitcoin can be used to make purchases and pay taxes.
The price of bitcoin jumped around 2% to just under $53,000 on Tuesday morning after Bukele’s tweets: the volatile token fell about 3% later in the morning, its highest price since the cryptocurrency market collapsed 3 months ago.
El Salvador’s decision to adopt bitcoin as legal tender is debatable and questions have been raised about logistics both at home and abroad, polls recommend that as many Salvadorans oppose the concept and many have taken to the streets to protest the replacement. Fund (IMF) has said its plans may threaten an early deal with the country, while some economists warn that the country is a haven for monetary crimes and that the potential environmental impact of bitcoin, which uses massive amounts of electric power. Some of those criticisms, adding that the environment has an effect and crime, which are in fact vital challenges, are formulated as if they were insurmountable and without reference to efforts to address the challenge or context. from own sources, for example, and the popularity of cryptocurrencies among criminals accounts for only a small fraction of illicit monetary transactions Many are excited about the update and Bukele opened its doors in hopes of attracting a new cohort of marketers to the country.
$ 30. This is the amount that each and every citizen who downloads the government’s bitcoin wallet, Chivo, will get in bitcoin.
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I am a Forbes journalist based in London covering the latest news. Previously, I worked as a journalist for a legal publication that covered great knowledge and as
I am a London-based journalist for Forbes covering the latest news. Previously, I worked as a journalist for a legal publication that covered wealth of knowledge and as a freelance journalist and policy analyst covering science, generation and health. Natural Sciences and Master in History and Philosophy of Science from the University of Cambridge Follow me on Twitter @theroberthart or write to me at rhart@forbes. com