El Salvador has just bought it’s first 200 coins - page 5.

stompix

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Blackjack.fun

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The purchase is part of a new $150 million Bitcoin fund passed last week by El Salvador’s Congress. The fund will be used to facilitate conversions from BTC to United States dollars in the lead-up to the new law being implemented. At current prices, the BTC purchase was worth just over $10.36 million.

They are buying those bitcoins in order to be able to facilitate those transactions, remember they've bought those ATMs, they want to provide the population with an easy way of changing BTC<>$ so they need a liquidity fund, and to be honest, I'm actually surprised in a good way that this fund was created, to me it's way better news than just buying a few coins and sending them to a cold wallet, it's a sign they are actually thinking on the next moves, not rushing things as they've done before. Poeple not being able to instantly transact from BTC to USD or the other way despite the promises would have been a blow nobody would have wanted.

Spack17

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This is a really good action to take considering speeding up the adoption process. People have already been familiar with cryptocurrencies. They just might not be fully ready for using Bitcoin only from now on. But I believe in El Salvador government to continue to take the necessary steps to make people get accustomed to using only Bitcoin in their daily lives. I hope that this process goes on positively and we see some other underdeveloped countries making a similar move for Bitcoin also.

mk4

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Quote from: iv4n on September 07, 2021, 03:37:14 AM

Quote from: ILuckyGuyI on September 07, 2021, 02:33:54 AM

It is a really huge amount of purchase which is worth around $10m for now. This is a good preparation before making Bitcoin their legal tender. The most important thing is what will happen later. Because I still don't know how many El Salvador people are likely to use Bitcoin in their daily lives. And I wonder what El Salvador's strategy will be from now on to convince people to use Bitcoin. I hope that they become successful after this move.

Quote

The country depends heavily on money which citizens based abroad, often in the US, send home and these remittances to El Salvador were worth almost $6bn in 2019, amounting to 16% of El Salvador's gross domestic product.

The country moved to using the US dollar as legal tender as a result of these remittances, and the move to Bitcoin is based on an expectation that more Salvadorans will begin sending money home using the cryptocurrency.

What do you think, will some people start using crypto for sending money to their family or dollars?! Fees will have an important role when making a decision... And not just fees, the process can be easier with crypto, and people like it when it's easier and cheaper!

Time will tell, but I think El Salvador made a good move here!

Do a bit of research. A significant number of El Salvadorians have been using bitcoin(through Lightning, hence little to no fees) for a while now. The legalization is just going to give adoption a boost, not necessarily the start of it.

iv4n

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Quote from: ILuckyGuyI on September 07, 2021, 02:33:54 AM

It is a really huge amount of purchase which is worth around $10m for now. This is a good preparation before making Bitcoin their legal tender. The most important thing is what will happen later. Because I still don't know how many El Salvador people are likely to use Bitcoin in their daily lives. And I wonder what El Salvador's strategy will be from now on to convince people to use Bitcoin. I hope that they become successful after this move.

Quote

The country depends heavily on money which citizens based abroad, often in the US, send home and these remittances to El Salvador were worth almost $6bn in 2019, amounting to 16% of El Salvador's gross domestic product.

The country moved to using the US dollar as legal tender as a result of these remittances, and the move to Bitcoin is based on an expectation that more Salvadorans will begin sending money home using the cryptocurrency.

What do you think, will some people start using crypto for sending money to their family or dollars?! Fees will have an important role when making a decision... And not just fees, the process can be easier with crypto, and people like it when it's easier and cheaper!

Time will tell, but I think El Salvador made a good move here!

ILuckyGuyI

hero member

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It is a really huge amount of purchase which is worth around $10m for now. This is a good preparation before making Bitcoin their legal tender. The most important thing is what will happen later. Because I still don't know how many El Salvador people are likely to use Bitcoin in their daily lives. And I wonder what El Salvador's strategy will be from now on to convince people to use Bitcoin. I hope that they become successful after this move.

KaliLinux

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Quote

El Salvador president Nayib Bukele confirmed Monday that his government has purchased its first 200 Bitcoin (BTC) ahead of today, the Sept. 7 rollout of a new law set to make the cryptocurrency legal tender.

“Our brokers will be buying a lot more as the deadline approaches,” Bukele said, referring to the Sept. 7 timetable for fully implementing the new BTC legislation.

Source: https://cointelegraph.com/news/el-salvador-purchases-first-200-btc-president-bukele-confirms

"Analysts at the Bank of America recently outlined at least four potential benefits, said El Salvador’s decision to recognize BTC as legal tender could streamline remittances, promote financial digitization, provide consumers with greater choice, and open up the country to American firms and digital currency miners."

I believe in totality, President Nayib Bukele has done a lot of good for the country and the citizens and the lots that are still against it will catch up later once they see what Bitcoins investment will bring to the country.

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