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- El Salvador president Nayib Bukele again in news surrounding Bitcoin.
- The recent industry events like FTX crash and TerraUSD collapse in 2022, shook the faith of the citizens on crypto-king. But the leader’s vision remains unwavered.
- “Bitcoin is going to change the world,” other nations join the array of accepting Bitcoin as legal tender, such as the Central African Republic (CAR).
Nayib Bukele, El Salvador president who has been running the office for the last four years, went against the International Monetary Fund, while adopting Bitcoin as legal tender in 2021, according to Bloomberg recent report.
Long-back relation of El Salvador & Bitcoin
After a few days of Sam Bankman-Fried led crypto exchange FTX collapsed in 2022, the president announced to buy one Bitcoin (BTC) daily. Crypto mogul and founder of the biggest blockchain DAO ecosystem Tron, Justin Sun soon also declared the same. They implemented Dollar Cost Averaging (DCA) or Constant Dollar Plan, which allows purchase of Bitcoin on a pre-scheduled basis.
Decision of accepting Bitcoin as a legal tender also provoked many criticisms against Mr. Bukele’s future hope with it. The country also possessed a $800 million in bond payment due in January this year, regarded as one of the worst debts in entire Latin America history, according to a news website.
After the nation declared BTC as a national legal tender in September 2021, some citizens remain optimistic whereas some claim it as a shallow ‘unrealistic optimism’ of the president. Amid the market downturns caused by industry-shocking events, such as TerraUSD collapse and FTX crash, the community believes that the crypto-king will shine again, as its history suggests.
More nations come in the ring
Mr. Bukele’s strong sentiments regarding Bitcoin can be felt in his statement that “Bitcoin is going to change the world,” addressing at Bitcoin convention in the same month bitcoin shooted up above $69,000 in 2021. He also added at the event that “It’s the evolution of humankind, and we’re going there,” according to The Wall Street Journal.
According to BBC reports, another nation who mimicked El Salvador was the Central African Republic (CAR) back in April 2022. The governmental authorities claimed this a crucial step in forming the nation’s security in terms of financial destiny. President Faustin-Archange Touadéra flamed a Latin motto “Vires in Numeris,” while connecting Bitcoin with its meaning “strength in numbers.” It became the second nation to adopt Bitcoin as legal tender.
According to CNBC, the authorities claimed to have lost $60 million in Bitcoin in October last year. The nation had invested nearly $375 million in overall experiments and other associated costs. These losses are massive for a developing country.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
