El Salvador Set to Launch Bitcoin "Volcano Bonds" in Early 2024
Luisa Crawford Dec 13, 2023 10:01
El Salvador plans to launch Bitcoin "Volcano Bonds" in early 2024 to fund "Bitcoin City" and address sovereign debt.
It is believed that El Salvador will debut its much-awaited Bitcoin "Volcano Bonds" at the beginning of 2024. El Salvador is a pioneering country in the use of cryptocurrencies. This action comes after the government made a pioneering decision to accept Bitcoin as legal cash, and it is a key milestone in the country's continuing acceptance of digital currency.
The "Volcano Bonds," which have been legally sanctioned by the Digital Assets Commission of El Salvador, are intended to be brought into circulation during the first quarter of the year 2024. On December 11, the National Bitcoin Office (ONBTC) of El Salvador certified that this information was accurate. The bonds, which had been delayed since their original release, which was scheduled to take place in March 2022, have finally been able to succeed in overcoming the regulatory obstacles that were essential for their introduction.
Throughout his time in office, President Nayib Bukele of El Salvador has been a staunch advocate of Bitcoin and the potential advantages it may bring to the nation. His commitment to incorporating Bitcoin into the nation's financial system was emphasized via the use of social media postings, which he used to confirm the impending issuing of these bonds.
The Volcano Bonds are being issued with the main purpose of addressing El Salvador's national debt and financing the creation of the envisioned "Bitcoin City." A significant component of El Salvador's plan to harness the power of cryptocurrencies for the purpose of fostering economic development and innovation is this ambitious endeavor. On the Bitfinex Securities Platform, which is a blockchain-based trading platform established in El Salvador, the bonds will be issued. The bonds will give a return of 6.5% annually over a period of ten years
In accordance with these efforts, El Salvador has just initiated a Bitcoin mining project with the name "Volcano Energy," which is worth one billion dollars and was developed in partnership with Luxor Technology. Through the use of the country's volcanic resources for the purpose of power production, this project exemplifies El Salvador's dedication to using its natural resources for the purpose of advancing technical progress and economic growth.
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