Close Menu
    Facebook X (Twitter) Instagram
    Trending
    • Iran Open to U.S. Talks but Demands Accountability and Compensation
    • Udaipur Files Ban Sparks Heartfelt Clash Over Truth and Harmony
    • Adani’s Dharavi Dream Devastates Mumbai’s Poor as Elites Seize Control
    • India’s Censorship Scandal Explodes: Reuters Blocked, Musk’s X Defies Modi’s Government
    • China Slams Trump’s Tariff Threat to BRICS Nations: “We Oppose Coercion Through Tariffs”
    • Senate’s “Most Dangerous” Tax Bill Sparks Outrage as Democrats Unite Against Billionaire Bailout
    • Paramount’s $16 Million Settlement with Trump Over ‘60 Minutes’ Lawsuit
    • Cricmax Connect: Powering the Organic Growth of Cricket in America
    • About
    • Careers
    • Contact
    • Privacy Policy
    Facebook X (Twitter) Instagram
    Digpu NewsDigpu News
    Saturday, July 12
    • Home
    • World
    • India
    • Business
    • Tech
    • Sports
    • More
      • Achievers
      • Auto Tech
      • Diplomatic Diary
      • Dil Paziir
      • Education
      • Entertainment
      • Finance
      • Health
      • Opinion
      • Politics
      • Press release
      • Startup
      • Science & Nature
      • Travel
    Digpu NewsDigpu News
    Home » World News » El Salvador is the first country to recognize Bitcoin as a legal tender

    El Salvador is the first country to recognize Bitcoin as a legal tender

    By Aasif GanaieSeptember 7, 2021 World News No Comments3 Mins Read
    El Salvador is the first country to recognize Bitcoin as a legal tender
    Credit: Twitter.com/Binance
    Share
    Facebook Twitter LinkedIn Pinterest Email

    On the eve of the new law’s implementation, El Salvador’s President, Nayib Bukele, announced the acquisition of 400 bitcoins worth roughly $20 million.

    Following its introduction in June, El Salvador’s Bitcoin law takes effect on Tuesday, making it the first country to accept cryptocurrencies as legal currency alongside the US dollar.

    3 minutos para hacer historia.

    In 3 minutes, we make history.#BitcoinDay #BTC🇸🇻

    — Nayib Bukele (@nayibbukele) September 7, 2021

    El Salvador’s President, Nayib Bukele, announced the purchase of 400 bitcoins valued about $20 million on the eve of the new law’s adoption.

    El Salvador just bought 200 new coins.

    We now hold 400 #bitcoin#BitcoinDay 🇸🇻

    — Nayib Bukele (@nayibbukele) September 6, 2021

    According to Sky News, Bukele claims that the move would boost financial inclusion, investment, and economic growth.

    Tomorrow, El Salvador will make history, becoming the first country where #bitcoin will be legal tender, cementing our commitment to a better future.@nayibbukele pic.twitter.com/xLZjLtm4Tw

    — Milena Mayorga (@MilenaMayorga) September 6, 2021

    Financial services slated to improve in El Salvador?

    Supporters claim that the move would make it cheaper and simpler for migrants to send money home to El Salvador, which is critical considering that remittances account for nearly 24% of the country’s GDP, according to World Bank data cited by CNBC.

    Citizens’ access to financial services may also be improved as a result of the change. Over 70% of the country’s “active population” does not currently have a bank account, according to CNN which quoted the CEO of Strike, a digital financial business that assisted with the logistics of the new law.

    Critics say country’s economic stability being risked

    Nevertheless, there have been objections, with many claiming that they do not know how to utilize the digital currency.

    Also, there are concerns that adopting such a historically volatile currency may damage Salvadorans and jeopardise the country’s economic stability.

    In April, Bitcoin reached an all-time high of over $60,000, before collapsing and losing over half of its value by the end of the summer.

    According to The Financial Times, the bill led to Moody’s decision to lower El Salvador’s debt rating, and the IMF has cautioned about its potentially disruptive implications.

    What happens in El Salvador with Bitcoin’s adoption?

    Citizens will be allowed to pay taxes in Bitcoin, and businesses will be able to sell items in the digital currency as a result of the law.

    Capital gains tax will not apply to money converted into the currency.

    El Salvador is now the first government to put Bitcoin on its balance sheet and retain it as part of its reserves, according to CNBC.

    It is pertinent to mention here that after adopting legislation in June this year, El Salvador has been planning to embrace cryptocurrencies for months.

    It began installing 200 ATMs around the country last month to allow residents to change between the two official currencies of the country.

    It’s also creating its own digital wallet, “Chivo,” which will give customers $30 worth of free Bitcoin to encourage usage.

    Bitcoin El Salvador Nayib Bukele
    Aasif Ganaie
    • Facebook
    • X (Twitter)
    • Instagram

    Aasif is a journalist and a news enthusiast based in Jammu & Kashmir. He voyages to explore and uncover the stories that need to be told. With a special focus on data journalism, the journo also writes about happenings, events and everything that matters.

    Keep Reading

    Iran Open to U.S. Talks but Demands Accountability and Compensation

    China Slams Trump’s Tariff Threat to BRICS Nations: “We Oppose Coercion Through Tariffs”

    Senate’s “Most Dangerous” Tax Bill Sparks Outrage as Democrats Unite Against Billionaire Bailout

    Paramount’s $16 Million Settlement with Trump Over ‘60 Minutes’ Lawsuit

    Afghan National Pleads Guilty to ISIS-Inspired Election Day Terror Plot in Oklahoma

    US Job Growth Revised Down by 818,000 in March 2023-March 2024

    Add A Comment

    Comments are closed.

    Latest

    Iran Open to U.S. Talks but Demands Accountability and Compensation

    July 11, 2025

    Udaipur Files Ban Sparks Heartfelt Clash Over Truth and Harmony

    July 11, 2025

    Adani’s Dharavi Dream Devastates Mumbai’s Poor as Elites Seize Control

    July 9, 2025

    India’s Censorship Scandal Explodes: Reuters Blocked, Musk’s X Defies Modi’s Government

    July 9, 2025

    Iran Open to U.S. Talks but Demands Accountability and Compensation

    July 11, 2025

    Udaipur Files Ban Sparks Heartfelt Clash Over Truth and Harmony

    July 11, 2025

    Adani’s Dharavi Dream Devastates Mumbai’s Poor as Elites Seize Control

    July 9, 2025

    India’s Censorship Scandal Explodes: Reuters Blocked, Musk’s X Defies Modi’s Government

    July 9, 2025
    About
    About

    Digpu News – Free Voice With A Critical Edge: At Digpu.com, we embody the spirit of ‘Free Voice With A Critical Edge.‘ Our mission is to reinvent the very idea of news. Launched in 2018, our independent daily English online news channel has set the standard for true journalism—emphasizing accuracy, reliability, relevance, and impartiality.

    Follow Us!
    • Facebook
    • Twitter
    • Pinterest
    • Instagram
    • YouTube
    Highlights
    Iran Open to U.S. Talks but Demands Accountability and Compensation

    Udaipur Files Ban Sparks Heartfelt Clash Over Truth and Harmony

    Adani’s Dharavi Dream Devastates Mumbai’s Poor as Elites Seize Control

    India’s Censorship Scandal Explodes: Reuters Blocked, Musk’s X Defies Modi’s Government

    Subscribe to Digpu
    © 2025 Digpu News Network. All rights reserved.
    • Terms of Use
    • Site Map
    • Privacy Policy
    • Disclaimer

    Type above and press Enter to search. Press Esc to cancel.