El Salvador buys its first 200 BTC a day before its bitcoin law becomes effective
|And it “will be buying a lot more.”
El Salvador President Nayib Bukele announced on Twitter that his government has bought 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 has just bought it’s first 200 coins,” he wrote. “Our brokers will be buying a lot more as the deadline approaches. #BitcoinDay #BTC”
El Salvador has just bought it’s first 200 coins.
— Nayib Bukele (@nayibbukele) September 6, 2021
Our brokers will be buying a lot more as the deadline approaches.#BitcoinDay #BTC
At press time, bitcoin was changing hands at $51,883.07, up 1.84% in the past 24 hours, according to CoinDesk 20.
Prior to Bukele’s tweet, there had been a growing number of users on social media platforms including Twitter and Reddit calling for people to buy small amounts of Bitcoin in support of El Salvador’s plan to make bitcoin legal tender, Bloomberg reported, as many investors are betting that the news could give the oldest cryptocurrency a price boost.
In June, Bukele announced that the Bitcoin Law would go into effect on Sept. 7. His government will use the Chivo e-wallet, preloaded with US$30 of bitcoin for everyone who downloads it.
El Salvador’s government has also been working on building infrastructure to support the new Bitcoin Law, including creating a $150 million bitcoin trust to facilitate exchange between bitcoin and U.S. dollars in the country.
The law was passed by a supermajority in El Salvador’s legislature, with 62 members voting in favor of the bill, 19 opposed and three abstained.
However, in contrast to the original law, Bukele on Aug. 23 confirmed that the use of bitcoin as legal tender will not be mandatory.
“If someone wants to continue to carry cash, not receive a sign-on bonus, not win over customers who have bitcoin, not grow their business and pay commission on remittances, they can continue to do so,” Bukele tweeted at the time.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.