Market

El Salvador Announces Launch of World’s First Bitcoin City

El Salvador Announces Launch of World’s First Bitcoin City . Prominent crypto companies will actively participate in the development of Bitcoin City, including the Bitfinex crypto exchange and Adam Backs Blockstream.

The Latin American country El Salvador has announced plans to introduce the world’s first “Bitcoin City”. President Nayib Bukele stands in the center of the stage at an event on Saturday, November 20.

El Salvador announces the launch of the world’s first bitcoin city

El Salvador announces the launch of the world’s first bitcoin city

El Salvador to celebrate the general introduction of Bitcoin in the country and increase citizen participation.

In the words of Bukele:

“In BitcoinCity we will have digital and technological education. Geothermal energy for the whole city and efficient and sustainable public transport “

Prominent crypto companies will actively participate in the development of Bitcoin City, including the Bitfinex crypto exchange and Adam Backs Blockstream. According to Paolo Ardoino, CTO of Bitfinex Bitfinex, the exchange will support El Salvador’s Bitcoin City initiative by launching a securities platform to hold Bitcoin bonds. He added:

“The platform, which will soon be home to many domestic and overseas digital asset delivery services, is developing new digital asset regulation for the country! El Salvador, Bitfinex and Blockstream are writing history together. “

The president envisions Bitcoin City becoming a fully functional city with residential areas, shopping malls, restaurants, ports and “everything related to Bitcoin”. In addition, residents only pay one VAT, which, according to Bukele, is used on the city’s bonds and the rest for public infrastructure and upkeep.

At the conference, Samson Mao, Blockstream’s Chief Security Officer, clarified the feasibility of raising $ 1 billion in Bitcoin bonds:

“With Bitfinex, they have a lot of whales. I don’t see a problem in filling out a $ 1 billion bond. “

Plan to issue $ 1 billion Bukele bonds in support of Bitcoin City

Bitcoin City will initially be financed with Bitcoin bonds. In addition, the city planned in the east of the country should be powered by the volcano and collect no taxes other than VAT.

According to the information received, El Salvador plans to issue USD-denominated 10-year bonds valued at US $ 1 billion. Bukele said: “We will start financing in 2022, bonds will be available in 2022.”

However, Bukele has hired two big players – Blockstream and Bitfinex – to issue these bonds. Speaking to Bukele, Samson Mow, Chief Strategy Officer at Blockstream, said ties will pay out 6.5% through the Liquid network.

Interestingly, half of the “volcanic bonds” are converted into bitcoin and the other half is used for bitcoin mining infrastructure and development that runs on geothermal energy.

Mow further stated that after a 5 year lockdown, the government will start selling Bitcoin and paying more dividends to investors. According to the blockstream model, the expected annual return at the end of 10 years, taking into account the expected price increase of Bitcoin, could be close to 150%.

Mow also noted that the plan would help El Salvador become the Singapore of Latin America. “The first countries to do this will have a great advantage. This is the beginning of the nation-state Bitcoin FOMO. ” Mow said, referring to the “fear of missing out”.

Bitcoin City’s infrastructure is being built near the Conchagua Volcano, which will support mining.

Join our Facebook group and Telegram group Coincu News to chat with more than 10,000 other people and share information about the crypto currency market.

Important NOTE: All content on the website is for informational purposes only and does not constitute investment advice in any way. Your money, the choice is yours.

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

Recent Posts

Solana memecoins crash while DTX Exchange hits 100,000 TPS on layer-1 blockchain

Discover how DTX Exchange's historic achievement of 100,000 transactions per second on a layer-1 blockchain…

11 minutes ago

Strategic Bitcoin Reserve Expected to Cut 35% of US National Debt by 2049

VanEck suggests the U.S. could reduce its national debt by 35% by 2050 through a…

17 minutes ago

The New Lead of Presidential Crypto Council Appointed by Trump Is Bo Hines

President-elect Donald Trump named Bo Hines as the executive director of the presidential crypto council.

42 minutes ago

Best New Meme Coins with 1000X Potential: BTFD Coin’s Hot BIG50 Discount As Baby Doge Coin, Dogs Takes Gaming to the Next Level

Explore the best new meme coins with 1000X potential. Learn how BTFD Coin leads with…

2 hours ago

BlockDAG Surges Past $170M as BDAG250 Bonus End Countdown Begins – Aave Targets $400 & Solana Shines with Scalability

BlockDAG crosses $170.5M in presale success with BDAG250 bonus and Whitepaper V3 launch! Solana grows…

3 hours ago

Qubetics Presale Price Surge Approaches: The Best Coins to Invest in Right Now While Toncoin, and XRP Gain Traction

Discover why Qubetics, Toncoin, and XRP are the best coins to invest in right now.…

4 hours ago

This website uses cookies.