Bitcoin now official legal tender of El Salvador

Chris Burns - Sep 7, 2021, 9:15am CDT
Bitcoin now official legal tender of El Salvador

As of the 7th of September, 2021, El Salvador became the first country in the world to accept Bitcoin as legal tender. “For the first time in history, all the eyes of the world will be on El Salvador,” said El Salvador President Nayib Bukele, “The bitcoin achieved this.” Officials in the country hope that Bitcoin will open opportunities for new business in the country, “reduce costs and attract tourists from anywhere in the world.”

The country of El Salvador acquired approximately 400 Bitcoin (approximately $20,405,360 USD rough conversion at 8:20 AM Central Time, September 7, 2021) in an effort to “add them to the resources that will be injected into economic activity” and give “stability to the government project.”

For those citizens living in El Salvador who wish to work with Bitcoin, Chivo Wallet has been made available for conversion of funds free of commission. The El Salvador government suggested this week that people will also have “access to the possibility of converting their cryptocurrencies to cash immediately.”

In a speech introducing the move this week, President Bukele suggested that they’re expecting some pushback. “They will instill fear, uncertainty and doubt,” said Bukele. “Quite a lot. Stay focused.”

Chivo Wallet is an official electronic wallet developed by the Government of El Salvador that was made available to the public on the 7th of September, 2021 for the first time. All new users of the Chivo Wallet application, be they citizens of El Salvador, will receive a bonus of $30 USD equivalent in Bitcoin upon adoption of the app.

The Government of El Salvador took extra precautions this week to direct citizens to the Chivo Wallet website to make sure no 3rd-party malicious entities succeeded in swindling with unofficial alternatives. Chivo Wallet is available for download for Android through Google Play, iOS through the Apple App Store, and Huawei devices in the Huawei AppGallery.

Per a release this week from the Government of El Salvador, “The use of bitcoin is optional and no one is obliged to use it, so it must be remembered that the dollar is the reference currency for prices, wages and accounting records in the country.”


Must Read Bits & Bytes