The government of El Salvador, led by President Nayib Bukele, has decided to accelerate its plans of issuing Bitcoin bonds by preparing 20 bills. These bills have been designed to provide a complete legal framework for cryptocurrency.
The Head of the Treasury of the country, Alejandro Zelaya, told El Mundo, the media in the country, that the bills would be covering most of the regulation about issuing securities as cryptocurrency to ensure the availability and the easy access of the Bitcoin bonds that were proposed in the November of 2021.
El Salvador Looking Towards Legalizing Bitcoin
The Treasury Head of El Salvador stated that this would be providing a legal structure as well as a legal certainty to every single person who would be purchasing the Bitcoin bond. However, it would be interesting to note that he didn’t really bring out a timeframe for the legislation to be submitted to the legislators.
The $1 billion that was much sought after by the bond issuance would now be used to fund the initiative of Bitcoin City, which the President has vowed would be providing technical as well as digital education, along with geothermal energy for the entire city.
One of the major features of the Bitcoin City in El Salvador is a mining operation of Bitcoin that has its eyes set on harnessing the geothermal power that is generated by a volcano to power most of the mining rigs- which would lead to the bonds being dubbed as Volcano Bonds. The mining operation went ahead and mined its first BTC on the 1st of October, 2021.
Zelaya also told El Mundo that El Salvador would also need massive help from financiers in order to fill their obligation by paying off the Eurobonds- which would be coming from the bonds of Bitcoin.