El Salvador’s president, Nayib Bukele, announced that they want to use Bitcoin as an official payment instrument and reserve currency in his country.
Interesting news continues to come from the two-day conference in Miami, which discusses the future of Bitcoin and blockchain technologies. The president of El Salvador took action to make Bitcoin the official means of payment.
Bitcoin will be the first official means of payment
El Salvador’s president, Nayib Bukele , who connected to the conference via video conference , announced that he sent a legal regulation to the parliament in order to use Bitcoin as an official payment tool and reserve currency in his country.
El Salvador is known for its heavy use of cash. 70 percent of people do not have a bank account or credit card. Money transfers are made via couriers and international money transfers are also very troublesome.
With the new regulation, Bukele hopes that his country will show more interest in digital money and therefore financial systems will improve. A team of experts in Bitcoin has been commissioned for this task, and the digital wallet platform Strike is also responsible for preparing the infrastructure. The Strike app is currently the most downloaded app in the country.
Some sources are skeptical of the official acceptance of cryptocurrency payments in these drug trafficked countries. While it may seem like a positive development, it may well expose money laundering allegations.