It’s been a year since El Salvador accepted Bitcoin (BTC) as a legal means of payment. Nayib Bukele’s radical move was met with different reactions from the public over time.
El Salvador started Bitcoin on September 7, 2021. a legal means of payment accepted it as a first in the world. Bitcoin, which is offered as an alternative to the local people, whose access to financial services is very limited, has won the hearts of the people with its many advantages, but it has been experienced since the date of the decision. to 60% public opinion with the imminent depreciation changed.
owns a shop in the seaside resort of El Zonte Mari Aguirreat the time when Bitcoin was accepted as a legal means of payment 52,660 from dollars 68,000 dollars in a short time that you rise and that meanwhile things are going well. But the last for 5 months continually that you fell However, Aguirre continues to accept Bitcoin payments.
Along with these, the government is responsible for the GDP of El Salvador. 28% of occurring during the sending of remittances from loss of commission to get rid of chivo issued an e-wallet. Chivo approx. 4 million downloaded once, but users who downloaded to three million relative in the USA was residing. Moreover Former Central Bank Governor Carlos Acevedoyour transfers less than 2% of It’s done through Chivo, and that too not much use had stated.
Bukele, who trusts Bitcoin at all costs, September 6 with part of El Salvador reserves in 400 Bitcoins It became one of the first countries to hold Bitcoin in its reserves. President Bukele7 September Bitcoin’s approximate 10,000 dollars with the depreciation 150 Bitcoins by declaring that they bought more 550 Bitcoins reported that. Later on “from the bottom” El Salvador, which continues to buy Bitcoin, is currently in its reserves $44,000 at average cost 2.381 bitcoin it has. Loss of El Salvador’s Bitcoin reserves at current price 60.1 million equivalent to dollars.
In this process International Monetary Fund (IMF) and many credit rating agencies are present in El Salvador’s Bitcoin move. fragile further its economy can weaken and called on Bukele to take a step back. However, when the El Salvador government did not take a step in the expected direction, financial institutions downgraded El Salvador’s credit rating. CCC lowered to level. Thereupon, President Bukele said, 2023 and 2025 term total 1.6 billion dollars announcing that they plan to recall government bonds early trust in its people, intimidation to financial institutions tried to give
El Salvador’s government Bitcoin mining using geothermal energy to do and Bitcoin City He put forward many radical projects, such as establishing a new tax-free city whose economy is highly based on Bitcoin. For the financing of projects 1 billion dollars Announcing that it will issue Bitcoin bonds worth high volatility and the market in uncertainty because of postponed bond issuance. However, President Bukele, July 22 with geothermal energy Bitcoin mining started announced.
Another plus of the acceptance of Bitcoin as legal money is that El Salvador tourism income will come after Bitcoin. 1 year It can be shown as an increase of more than 30% in your country From the Ministry of Tourism According to the statement, the widespread use of Bitcoin technology has increased job opportunities in the country, and El Salvador has “business tourism“It has become a country that has started to generate revenues. With the adoption of Bitcoin as a legal currency, the average in tourism from 30% Nayib Bukele, who emphasized that a large increase was recorded, stated that the use of Bitcoin affects not only the number of tourists, but also the expenditures of tourists.
After a very turbulent year for El Salvador, what remains in mind 2 concrete developments, crypto mining with geothermal energy and “from the bottom” resulting from Bitcoins received $60 million loss it happened. Still, the recovery of Bitcoin in the coming periods will work again for El Salvador. “to endure” can level. In addition to all this, although some of the people are quite angry despite the Bitcoin moves, the other part is despite all the events. happy with this decision. Working at a hotel in El Zonte Cheetara Hasbun, “Bitcoin is still a good means of payment, it just needs to be given as much time as the dollar” states.