El Salvador has adopted Bitcoin as a legal tender, but the move would become official in a few weeks. Thus, marking another remarkable achievement for the world’s leading cryptocurrency.
El Salvador’s Bitcoin adoption will become official on September 7
El Salvador’s President Nayib Bukele announced yesterday that the recently passed law to make Bitcoin a legal tender would become official and take effect on September 7. The move would make El Salvador the first country in the world to make the cryptocurrency a legal tender.
Earlier this month, Cryptonary reported that The El Salvador parliament approved the bill to make Bitcoin a legal tender. The adoption has come with its challenges, with the World Bank refusing to support El Salvador with the technical aspect needed to implement Bitcoin as a legal tender.
However, El Salvador is moving forward, and the bill will take effect on September 7. The Central American country said it would release an official digital wallet to support the Bitcoin use. The digital wallet, dubbed Chivo, will be connected to other Bitcoin wallets globally.
Bitcoin will improve remittance
To encourage the use of the Chivo wallet, President Nayib Bukele said the government would give $30 worth of BTC to users that download the app. He pointed out that adopting Bitcoin comes with numerous benefits, including the ease of cross-border transactions. President Nayib Bukele said remittance with Bitcoin is easy and can be done at any time of the day, with no restrictions.
Some countries are already looking to make similar moves to El Salvador. Deputy Carlos Antonio Rejala Helman of the Hagamos Party in Paraguay has called on the government to make Bitcoin a legal tender.