El Salvador, a nation already distinguished for embracing Bitcoin, has achieved another milestone in the crypto realm. The nation’s Volcano Bond, integral to its plan to establish the world’s first Bitcoin city, has received regulatory approval from the Digital Assets Commission (CNAD).
This development was confirmed by President Nayib Bukele in a post on social media, signaling a major step forward in the country’s crypto-centric vision.
A Vision of A Bitcoin-Powered Future El Salvador’s Volcano Bond, set to launch in Q1 2024, marks a historic moment as the world’s inaugural BTC Bond. The National Bitcoin Office (ONBTC) of El Salvador shared their enthusiasm on social media, noting:
This is just the beginning for new capital markets on Bitcoin in El Salvador.
The bond, derived from the country’s initiative to leverage geothermal energy from its active volcanoes for BTC mining, aims to raise $1 billion to fuel this project.
Initially scheduled for issuance in March 2022, the bond’s launch has been delayed multiple times, but the recent regulatory approval has set the stage for its imminent release in 2024.
The bond will be issued via Bitfinex Securities, a securities trading platform registered in El Salvador, symbolizing the country’s cryptocurrency integration into its national economic framework.
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.
— The Bitcoin Office (@bitcoinofficesv) December 12, 2023
El Salvador’s Economic Uplift Notably, the Volcano Bond regulatory nod development coincides with El Salvador’s recent success in attracting significant Bitcoin investments through its “Adopting El Salvador Freedom” program. A prominent BTC advocate, Max Keiser, revealed that the program has already garnered applications from 153 individuals, each committing $1 million in BTC or USDT.
This influx of funds, totaling $153 million if all applications are approved, represents a substantial economic boost for El Salvador, providing capital for national development projects and further cementing its position as a pioneer in the global crypto landscape.
153 have signed up so far. That’s $153,000,000 in donations for the #BukeleMiracle in #ElSalvador. https://t.co/n97s1yMGS7 https://t.co/NIms2mHYLt
— Max Keiser (@maxkeiser) December 10, 2023
The influx of BTC into El Salvador’s economy through these initiatives holds the potential to create a ripple effect of benefits. It could increase foreign investment, enhance the nation’s technological infrastructure, and potentially position El Salvador as a key player in the global crypto economy.
Furthermore, this move aligns with Vice President of El Salvador Felix Ulloa’s vision of leveraging BTC to attract fresh capital and tourists to El Salvador and tie its national debt to the cryptocurrency.
BTC price is moving sideways on the 1-hour chart. Source: BTC/USDT on TradingView.com Featured image from Unsplash, Chart from TradingView
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Samuel Edyme Edyme is a writer, a content writer that specialises in writing about the crypto realm. Asides Bitcoinist and NewsBTC, Edyme’s writing has been featured in top sites such as Blockchain.News, CoinMonk, Blockchain Reporter, Bitcoin Insider among others.