El Salvador’s legislature on Wednesday approved President Nayib Bukele’s proposal to adopt Bitcoin as a national legal currency. The approved Bitcoin law protects cryptocurrency with unrestricted liberating power, and allows its unlimited use in any transaction.
Bukele’s cryptocurrency plan aims to boost El Salvador’s economy by integrating the national and international economy through incentives and technology. His plan includes an offer of permanent residency for people who launch Bitcoin-related ventures in El Salvador. According to the presidential plan, Bitcoin will be accepted in all transactions, but will not replace El Salvador’s current official currency (USD).
Legislative members approved the Bitcoin law to increase employment opportunities, and to promote financial inclusion, as currently, some 70 percent of Salvadorans lack bank support. Bukele celebrated the win on Twitter by announcing that the Salvadoran legislature approved his proposed Bitcoin Law by a supermajority with 62 out of 84 votes.
As Forbes recently noted, “Despite El Salvador’s small size, Bukele’s effort is a major milestone in monetary policy history, one with significant ramifications for the global financial system.” Through his economic strategy, Bukele hopes to benefit all Salvadorans, contribute to improved future expectations, and to show that El Salvador is a safe destination to visit and invest in.