CoinDesk Analysis Team
CoinDesk
El Salvador’s long-planned Bitcoin bonds have inched closer to reality after apparently receiving regulatory approval for an early 2024 issuance, the country’s Bitcoin-focused office posted on Tuesday.
The bonds are set to be offered on Bitfinex Securities, a regulated division of crypto exchange Bitfinex.
“The Volcano Bond has just received regulatory approval from the Digital Assets Commission (CNAD),” El Salvador’s National Bitcoin Office posted from its X handle. “We anticipate the bond will be issued during the first quarter of 2024.”
BREAKING NEWS
— The Bitcoin Office (@bitcoinofficesv) December 12, 2023
The Volcano Bond has just received regulatory approval from the Digital Assets Commission (CNAD).
We anticipate the bond will be issued during the first quarter of 2024.
This is just the beginning for new capital markets on #Bitcoin in El Salvador.
President Nayib Bukele apparently confirmed the approval on X, posting “Wen volcano bond?” early Tuesday and reposting several posts that said the bonds would be issued in Q1 2024.
The so-called “Volcano bonds” were announced in 2021 by President Nayib Bukele shortly after he passed a law recognizing bitcoin (BTC) as legal tender in the country.
Bukele’s target was to raise $1 billion via the bitcoin-backed bonds – seeding a bitcoin mining industry reliant solely on renewable energy, including that generated by the country's active volcanos.
Issuance was initially planned for March 2022 but was postponed several times. However, the digital assets bill was finally introduced in the Legislative Assembly at the end of November 2022, where Bukele's party, Nuevas Ideas, has a large majority.
The development is the second major bitcoin-focused move in as many weeks. Earlier, El Salvador kickstarted its "Freedom VISA" program, doling out residency to a maximum of 1,000 people annually who invest at least $1 million worth of bitcoin or tether (USDT) stablecoins.
All writers’ opinions are their own and do not constitute financial advice in any way whatsoever. Nothing published by CoinDesk constitutes an investment recommendation, nor should any data or Content published by CoinDesk be relied upon for any investment activities. CoinDesk strongly recommends that you perform your own independent research and/or speak with a qualified investment professional before making any financial decisions.
Recommended Content
Editors’ Picks
TRON gains 10% in 2024, supply of stablecoins reaches over $50 billion in Q1
TRON, a blockchain-based digital platform, has seen positive growth in the first quarter of 2024, as seen in a Messari report. TRON noted gains across several metrics like market capitalization, revenue and total value locked.
XRP hovers near $0.50 as Ripple CTO addresses concerns related to stablecoin launch
XRP is hovering near $0.53 on Friday, spending nearly all week below $0.55. Ripple CTO David Schwartz addressed concerns on stablecoin and XRP utility on Thursday.
Terraform Labs set to restrict access for users in the US after recent ruling in SEC lawsuit
Blockchain company Terraform Labs said Thursday that it will restrict access to some of its products and services for US-based users as it expects to receive a court order soon in light of its legal battle against the US Securities and Exchange Commission (SEC).
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Bitcoin: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.