New Delhi: If you are a Bitcoin trader, entrepreneur or aspiring to be one, here is a piece of good news for you. Amid talks of regulations to control cryptocurrency trading, El Salvador has become the first country in the world to adopt Bitcoins as legal tender.
The announcement was made by President Nayib Bukele on Twitter. “The #BitcoinLaw has been approved by a supermajority in the Salvadoran Congress. 62 out of 84 votes! History!” the tweet at 11:35 AM IST read.
Salvador President Nayib has been touting the use of bitcoin as it will enable Salvadorans living abroad to send remittances back home.
El Salvador’s economy relies heavily on remittances and those who stay abroad can opt for crypto route also to send money back home, once the rules gets into effect in next 90 days. According to World Bank data, remittances to the country made up nearly $6 billion or around 1/5th of GDP in 2019, one of the highest ratios in the world.
However, U.S. dollar will also continue as legal tender.
Salvador President also announced that people who invest Bitcoin in El Salvador will get the country citizenship. People investing three Bitcoins in country’s economy will be given citizenship by the government.
The bill was passed in El Salvador after getting 62 out of possible 84 votes.