Bukele’s government introduced a bill to launch the ‘Bitcoin bonds’

Amid the crypto market downturn, El Salvador lastly makes a decisive step to the realization of its formidable “Bitcoin bonds” venture. The Minister of the Economy Maria Luisa Hayem Brevé introduced  a bill confirming the government’s plan to elevate $1 billion and make investments them into the development of a “Bitcoin metropolis.”

A 33-page digital securities bill, dated Nov. 17, urges lawmakers to create a authorized framework utilizing the digital asses in public issuances by El Salvador. They also needs to take into account all the necessities for this process and the obligations of issuers and asset suppliers.

The “volcano bonds” or “Bitcoin bonds” have been introduced by the government of Nayib Bukele again in 2021. The preliminary plan proposed issuing roughly $1 billion of these bonds and allocating the raised funds to the development of a “Bitcoin metropolis” at the base of the Colchagua volcano. Supposedly, the hydrothermal power of the volcano would make the metropolis a good crypto-mining facility. Half of the raised funds would nonetheless be invested straight into Bitcoin.

Related: Nayib Bukele publicizes Bitcoin prescription for El Salvador: 1 BTC a day

During the final 12 months, the venture has been repeatedly delayed — in some unspecified time in the future, its launching section was scheduled for the starting of March, then it bought postponed to September solely to be postpone another time due to “safety causes.”

According to some sources, the bill could also be accepted by legislators earlier than Christmas. Paolo Ardoino, CTO of cryptocurrency change Bitfinex, which collaborates with the government of El Salvador on the bonds venture, appears to be optimistic about that point:

https://twitter.com/paoloardoino/status/1595246771097288705

After making BTC a authorized tender on Sept. 7, 2021, El Salvador gathered over 2,301 BTC for roughly $103.9 million. During the bull market, the revenue from the funding was even used to construct faculties and hospitals. However, as the nation’s financial system continues to battle, 77.1% of residents choose the Salvadoran government to cease “spending public cash on Bitcoin.”