El Salvador President Nayib Bukele announced on Twitter that his government has purchased 200 BTC on Monday, a day before the country’s Bitcoin Law, which will make the cryptocurrency legal tender within the Central American nation, goes into effect.
El Salvador President Bought 200 BTC
El Salvador has quite recently purchased its initial 200 coins, he wrote. Our brokers will be buying significantly more as the deadline approaches. At press time, bitcoin was changing hands at $52,364, up 2.3% in the beyond 24 hours. In June, Bukele announced that the Bitcoin Law would come full circle on Sept. 7. His government will use the Chivo e-wallet, preloaded with US$30 of BTC for everyone who downloads it.
Before Bukele’s tweet, there had been a growing number of users on social media stages including Twitter and Reddit calling for people to purchase modest quantities of Bitcoin in support of El Salvador’s arrangement to make bitcoin legal tender, Bloomberg reported, as numerous investors are betting that the news could give the oldest cryptocurrency a price help.
Use of BTC as a Legal Tender Won’t be Mandatory
However, as opposed to the original law, Bukele on Aug. 23 confirmed that the use of bitcoin as legal tender won’t be mandatory. Assuming someone needs to continue to convey cash, not win over customers who have bitcoin, not receive a sign-on bonus, not develop their business and pay commission on remittances, they can continue to do as such, Bukele tweeted at that point.
The law was passed by a supermajority in El Salvador’s legislature, with 62 members voting for the bill, 19 opposed and three abstained. El Salvador’s government has additionally been working on building infrastructure to support the new BTC Law, including creating a $150 million bitcoin trust to facilitate exchange between bitcoin and U.S. dollars in the country.