The president of El Salvador, Naib Armando Bukele Ortez has announced that he wants to make Bitcoin a legal currency of the country. After attending the Bitcoin 2021 video conference in Miami, he stated that he will be sending a law to the country’s Congress to make Bitcoin the legal tender of the country. Considering that the ruling party has an overwhelming majority in the new Congress, there’s a good chance that the bill will actually be passed.
At present, the US dollar ($) is the official currency of El Salvador with a quarter of its citizen living in the United States and sending more than $6 million back in remittances. According to Ortez, most of the money sent by citizens overseas ends up with intermediaries and making Bitcoin the official currency will help alleviate and even eliminate this problem.
Furthermore, he believes that it will also create jobs and provide financial services to thousands of people outside the formal economy as around 70% of the country’s population doesn’t have a bank account. Considering the widespread support Bukele has in his country, it’s very likely that he’ll be able to make good on his promises. He’s the first president in 30 years to win without the support of the country’s major political parties and has been responsible for facilitating the distribution of the COVID-19 vaccine on time and running an effective awareness program in the country.