El Salvador’s Bitcoin-Based Volcano Bond Issue Approaches

It seems that the launch of El Salvador’s government bonds, which will be based on Bitcoin (BTC), is approaching, but before that there may be several announcements related to the economic and financial aspects of the Central American country.

Sources consulted by CriptoNoticias indicate that no later than Tuesday 14 March can be approved 10 First Financial Legal Reforms in El Salvadorfrom the package announced on February 20 by Knepp Böckel that will consist of 52 laws in total.

According to the president, the goals of this reform are to create tax incentives, grant citizenship for investment, reduce bureaucracy and also A new draft law on financial assets (Guarantees), where It is assumed that the legal act of the so-called “volcano bonds” savior.

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“The plan is simple: While the world falls into the grip of tyranny, we will create a paradise for freedom,” Bukele said in a tweet on Twitter about three weeks ago.

When the launch of the El Salvador EBB1 bond was announced last November 2021, it was announced that during the first quarter of 2022 these bonds would be offered for sale on the Bitfinex exchange.

However, the said exchange has not made any announcements, nor has Blockstream been responsible for the technology of this government bond that will have the form of a token or cryptocurrency.

When will the Bitcoin Bonds in El Salvador be announced?

El Salvador’s Finance Minister, Alejandro Zelaya, had said last February that the volcanoes link They will be ready between 15-20 March from this year.

Meanwhile, the government called on the national radio and television network, yesterday, March 9, to make some announcements that were later postponed to March 10 at 8 pm (local time). Although it is possible that Bukele in this letter mentions the bundle of laws, or refers directly to volcanic connections, it is likely that he will announce Some economic relief measuresRegarding the fuel price hike in recent days.

In this context, last Monday, Salvadorans took the opportunity to fill their car tanks with gasoline, before the price officially increased. The war in Ukraine has increased the price of oil and with it the value of gasoline, which in El Salvador is currently around $4.50 per gallon (3.7 liters) while in the United States it is close to $5.00.

On the other hand, despite the inflation of the US dollar, it seems that El Salvador – the country that uses this currency – is ready To issue your Bitcoin-backed bonds and apply other fixes.

If you do not do so in March, there is a good chance that the government will announce the launch of bonds from Bitcoin Conference 2022, to be held from April 6-9, 2022 In Miami, USA

This may be likely, considering that last year at this conference, Nayib Bukele announced the Bitcoin Code, which was approved a few days later. this year It has been confirmed that Bukele will speak at the conferenceOther officials and business managers are also expected to attend. CriptoNoticias will be present at this event as well.

So far since El Salvador adopted bitcoin as legal tender, this country has seen its credit rating drop, seen tourism grow 30%, and opened a veterinary hospital with funds generated by the bitcoins the government bought last year.

Meanwhile, financial markets are in turmoil due to the war in Ukraine, and some investors are eyeing El Salvador’s volcanic bond with interest at its impending issuance.

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