Topic: El Salvador has become the first country to make #Bitcoin legal tender! 🇸🇻 - page 94. (Read 43229 times)

https://twitter.com/nayibbukele/status/1600660602107592704?t=Zk-C8XO8xcV6cXxYMUYJ6w&s=19

Am glad to see this come through as part of El-Savador's recent achievements through it bitcoin adoption, the bond has been one of the long awaited steps to take into action and not until this is been accomplished, they have shown to be vigorous and adaptive despite the high volatility in bitcoin to have make something good out of it, I think this as well will be an indication to showcase the success with bitcoin adoption in El-Savador amidst speculations that it has failed, there's definitely no doubt about how they have make utilization of the country's treasury into a profitable investment helping in the settlement of it debts.

awesome effort you put in to update us on the new version of the textbook but as a general, I did not make any attempt to read through the content of the textbook simply because since the textbook is just an NGOs project to promote and educate citizens of El Salvador, it will contain the basic content in Bitcoin which we are already familiar with as members of this forum but the textbook will serve as a basic Bitcoin educational content to citizens of El Salvador.
What is more interesting in readings the El Salvador Bitcoin policy at least, is that will give the whole El Salvador Bitcoin project a framework on which the development and adoption will build on.
Even though the rate of adoption of bitcoin among El Salvadorans is slow right now due to a lack of Bitcoin education among the citizens and a lack of proper government national Bitcoin policy.
if the right information is passed to the citizens as to the benefits of using Bitcoin as a decentralized alternative currency, the rate of Bitcoin adoption will definitely increase because of that. Having an alternative currency that is decentralized without third-party involvement is such a big freedom that El Salvadorans will not reject but there is a need for time for Bitcoin to stimulate the economy in a decentralized manner that will trigger national interest.

You probably should provide some links and/or specifics when you make those kinds of claims.

There are likely both good and bad going on with any kind of new development and something as innovative as bitcoin (adding another kind of currency as an option for people to be able to use).  There are going to be plusses and minuses, but it is not always going to be clear in regards to if you might be describing some correlation matters or causation matters to the extent to which what you describe is even measurable (beyond anecdotal examples).

After seeing the image of the textbook above, I went back to my previous post on the matter and checked the download links I provided. Both are now void, but that seems to be because the book may have had some updates made to its content.

The latest version is available here (committed on the 25/10/2022 – In Spanish):
https://github.com/MiPrimerBitcoin/Diplomado_v3.0/blob/main/Mi%20Primer%20Bitcoin%20-%20Libro%20de%20Trabajo%20(V3.0)%20-%20FINAL.pdf

Just as a refresh the matter, the book is not a of national widespread usage, but rather an NGO’s initiative, being currently used in a very delimited set of schools (as a side project I figure), but with higher goals for 2023.

See: https://miprimerbitcoin.io/en/my-first-bitcoin/

Wow! It looks really promising. Bitcoin education at a national level will make El Salvador the most Bitcoin understanding nation in the world! And I hope they'll get as much benefits from that as possible. El Salvador pretends to be the first not only in making Bitcoin a legal tender but also in everything related to it. Sounds fantastic!

Seen all those results El Salvador government has made available for their citizens, made me to believe that in next few years this country will become the most richest country in the whole world. I believe, this is just the beginning of El Salvador progress for the beautiful step their government made to make Bitcoin legalized in the country, and to create more opportunities for their international investors. This Bitcoin textbook, I believe it will contain some of the things that will make their students to know more about the founder of Bitcoin, and the purpose of Bitcoin to humanity.

Education about Bitcoin will indeed be carried out by those who have legalized crypto and Bitcoin if everything needed by the government is complete and I am sure that several countries that have adopted and legalized crypto and Bitcoin are getting more attention and experiencing progress in their economic sector. Several other countries in the Americas will also make considerations to imitate and follow in the footsteps of El Salvador as happened in the example of Brazil now.

It didn't, Bitcoin is permitted to use in Brazil with this legislation act but not made a legal tender. So companies can accept payments in Bitcoin on their choice but they are not made to do it. IMO it is good as permissive legislation at my point of view is the best way of global Bitcoin adoption. Copying El Salvador's experience for other countries is not mandatory to achieve good results.

President Nayib Bukele have made decisions thinking about the future prospects bitcoin bring to the country. People and professionals around the world criticised, but he took it thinking wider. What he made became history and the same have now begun to be the stepping stone for other countries.

Brazil's government have passed law to use bitcoin as legal tender within the country. Surely the government would've watched what El Salvador have done. What is the difference the country have experienced after the adoption of bitcoin. In the past we had Laszlo Hanyecz, the pizza guy to give value for bitcoin with the purchase of pizza in exchange for 10000BTC. Now President Nayib Bukele have taken it to the next level with the same being announced as the currency of the country.

El Salvador has become a great person all over the world for the great work he has done by introducing the use of Bitcoin in his country. He is a really creative thinker. The thought of how to advance his country has awakened in him. Introduced the use of Bitcoin in various sectors. Again in this dumping moment he bought and accumulated a lot of bitcoins. Thanks to the creativity of the government of El Salvador, its country will become one of the developed countries.

It seems that a petition filed in 2021 for the Court of Accounts of El Salvador to look into the purchases of bitcoin made by the country, alongside some of the initial contracts related to the Chivo System, will finally see the light … at some point in during 2023 (*) …

That should lead to an internal audit from the Court of Accounts, on the way public money was spent in relation to the above (now people have to take it for granted), and it constitutes a first step into being able to actually take a peek behind the curtains at formal figures being spent, and their origin. Let’s see if the audit eventually gets carried out, and made somewhat available to the public …

See (GT):
https://www-elsalvador-com.translate.goog/noticias/nacional/corte-de-cuentas-chivo-wallet-cristosal-bitcoin-/1020458/2022/?_x_tr_sl=pt&_x_tr_tl=en&_x_tr_hl=es&_x_tr_pto=wapp

(*) They seem to need to enhance the audit team to perform the task, as per the notification received from the Court of Accounts on the matter.

Before legalizing  Bitcoin as payment currency I think El Savador have ideas how increasing tourism sector and accepted Bitcoin as currency transaction make tourist easy without need convert their cash money. Currently proven by the number of tourists visiting El Salvador increased dramatically after Bitcoin was legalized. Have little weakness and bad moment choosing by El Savador government because they have been legalize and invested with Bitcoin when reaching all time high price. Have possibility for Bitcoin back to higher price but El Savador have reach their goals by increasing tourism sector and become new destination become country income.

The government of El Salvador is a creative thinker. He legitimized Bitcoin for his country and people. If such a thinking government is established in every country, the country will prosper, the people of the country will be freed from unemployment and the popularity of Bitcoin will increase. In the creative thinking of the government of El Salvador, he is tourism.in the sector introduced the use of Bitcoin, which really surprised the world. This thing has also become most attractive to tourists.

No one is immune to making different mistakes and implementing a new kind of money as a national currency is a technically complex process. We can see some difficulties while it, but benefits are going to be revealed with again and again with time: cheaper money transfers for labor migrants from abroad can give more money for economy of a country and not for transboundary financial companies; direct access to an online bank like system for majority which has no access to banks will IMO make positive impact on economy also. And we'll see more benefits in the future. So right, there are difficulties, and it is good that we know about them, but we should compare them with the benefits to make a decision.

I don’t really believe it will be, though these first steps are important paving stones that in the long run could lead in that direction. Nevertheless, as I pointed our in another thread recently:

Once approved, we’d still need to see the detailed framework of application and try to read some insights on its usage as a means of payment, but I wouldn’t get too excited about it for now.

Note: The law is also going to bring regulation to Exchanges and such that can operate in Brazil, so it goes beyond being a framework for payments to be settled in.

So maybe Brazil will be next after El Salvador? On November 29, 2022, the Chamber of Deputies of Brazil adopted a law (PL 4401/2021) on the legalization of cryptocurrency as a payment method and is now waiting for the approval of the President of the Republic, Jairo Bolsonar.

https://cointelegraph.com/news/brazil-passes-law-to-legalize-crypto-as-a-payment-method
https://www.camara.leg.br/proposicoesWeb/fichadetramitacao?idProposicao=1555470&fichaAmigavel=nao

El Salvador government is doing well for this great opportunity their president embraced to made Bitcoin real in the land so that their citizens can make a bold move on how to improve higher in profits making in the country through Bitcoin. El Salvador government has build many infrastructures in the country through the help of Bitcoin, and also create a good environment for the bitcoiners to acquire Bitcoin certificate that will make people to identify them as a potential bitcoiners in the country. I think, with time El Salvador country will be among the developed countries in the world, because of this digital currency their government made available for the country.

This shows the flaws of the app developer that cost the El Salvador government a huge amount and from the above-quoted part of the interview it shows that the fault is totally on that of the developer, and he should take responsibility for the loss, how can their suspend Know your client procedure for a centralized wallet like chivo and since there was no identity behind any of the abuser accounts to abused the $30 welcome bonus there are free and can spend the $24 million stolen through the chivo wallet KYC deactivation.
This is a pour technical failure for the app developer and based on the contract, the company is liable and should make a refund of all the money lost back to the government.
This system failure looks much like an insider job to me since after just 150 wallets a system developed to accommodate all the number of El Salvador citizens onboard the bitcoin network through the government own chivo wallet can not just crash after a few hundred of accounts the story is not clear to me, and more investigation should be done on this case since the incident have affected the country revenue negatively and made the general El Salvador bitcoin adoption look as a set back for the country instead of it being an advantage.

Below is an interesting read on some of the inner problems with the Chivo Wallet, mostly dating back to the initial days, but which presumably cost the Salvadorian government a pretty penny.

The articles below referenced, depict excerpts from Shaun Overton's testimony in a US court (Northern District Court of Texas). Overton’s company was hired by the Salvadorian government, later by Athena, to fix some of the early issues on the Chivo System in 2021. The testimony in the US Court is part of a claim against Athena for lack of payment for the rendered services, but it shines a light on some of the early faults.

Amongst the cited faults, some that we knew of, and some that I don’t recall reading before, lies a massive fault in the KYC procedure, which lead to paralyzing the procedure after just receiving 150 petitions, following its crash. That lead to the initial days having no real effective KYC being carried out, facilitating thousands and thousands of fake accounts to be created, claiming the 30$ bonus, using other people’s ID number and names to do so, with no verification to the person. Overall, Overton estimates 10%-20% of the created accounts to be fraudulent, effectively stealing between 12M$ and 24M $ from the Chivo System. The figure seems far a bit of a stretch to me, but that’s the estimate declared in the testimony.

Other interesting faults that came at a cost, that ring a bell to me were:

-   BTC/USD rates were fixed for minute intervals, allowing people to skim earings through arbitrage.

-   A coder managed to introduce a 1:1 BTC/USD pair value overnight by mistake, and although the night favoured people not being able to cash-out or transfer the erroneous operations performed with the said 1:1 parity, some managed to skim some off through LN TXs.
Although this was, for the most, really on the books of the Chivo System (no fiat TXs nor onchain involved), it did virtually (so as to say) cause El Salvador to become insolvent (around 180000 $ were trades for 180000 BTCs, with over 10 billion $ conceptual market value).


See (GT articles):

https://www-no--ficcion-com.translate.goog/project/us12millones-hurto-chivo-wallet?_x_tr_sl=es&_x_tr_tl=en&_x_tr_hl=es&_x_tr_pto=wapp
https://www-elsalvador-com.translate.goog/noticias/negocios/chivo-wallet-empresa-fraudes-bitcoin-nayib-bukele/1020228/2022/?_x_tr_sl=es&_x_tr_tl=en&_x_tr_hl=es&_x_tr_pto=wapp

The former is a Guatemalan article, therefore numbers expressed with a prefix Q are in their local currency (Quetzals). The latter is a regular source for Salvadorian information, and references the former to derive its content.

The thing here is that they do really took a shot and decided to make Bitcoin as a legal tender and the rest is just a random or presumption that it would really be affecting their tourism area or part

which it really did.Despite on getting lots of criticisms or simply those critics basing up on the decision that they had made but still they are really that trying to move forward as much as they could.

It is really just something good to look at on what they have done even on a very bear market.It seems that they dont really care if its value would be going down and rather they do
just keep on purchasing on these dips which is something a decision which cant really be done by other countries which it does take lots of courage and risk taking
as a President. If this one turns out to be ending up positive then we do know on how successful El Salvador would be.