Monday, November 29

El Salvador will issue $ 1 billion Bitcoin Bond and create Bitcoin City


El Salvador announces the issuance of a “Bitcoin Bond” worth 1 billion dollars to finance Bitcoin City. In the issuance of the sovereign bond, Nayib Bukele, president of El Salvador, will have the Bitfinex exchange and the Blockstream company. Bukele announced both news at the closing of LaBitConf, the world’s most important Bitcoin-in-Spanish Conference, which this year was held in El Salvador, the first country in the world to adopt bitcoin as legal tender.

Bitcoin Bonus for El Salvador

On issuing tokenized bonds, Blockstream CSO Samson Mow writes on the company’s blog that the bond offering can be attractive to a wide range of investors. The issuance of these bonds, Mow says, has the potential to accelerate hyperbitcoinization and spawn a new financial system built on top of Bitcoin. The ‘Bitcoin Bond’ will be issued on the Liquid Network and $ 500 million worth of bitcoin will go towards building the infrastructure needed to get the bitcoin city up and running.

El Salvador plans to grant the bond issuance license to Bitfinex Securities, which could pave the way for other tokens, such as Blockstream Mining Note (BMN) or Exordium (EXO), to be listed on the country’s regulated stock exchange, says Mow.

El Salvador, financial center of the world

The Blockstream CSO, who shared the stage at the closing of the Conference with President Bukele, said that El Salvador will become the financial center of the world. Mow said that El Salvador will be the Singapore of America. Bukele explained that Bitcoin City will allow to boost the use of bitcoin and the development of the country’s economy. The city will have its own mayor’s office and all kinds of facilities for investors and bitcoiners, Bukele said. It will be equipped with shops, museums, bars, restaurants, airport, port and even with its own energy source, coming from a volcano.

Mow encouraged those present to invest in El Salvador, because he believes that the future of financial products belongs to Bitcoin. ‘Bitcoin Bond’ is the first step to achieving global inclusion of finance, much like the way Bitcoin created global inclusion of money, “he said.

Instant dividends and minimum investments of $ 100

For Mow, Bitcoin Bond represents the beginning of a reform of the capital markets, built on top of Bitcoin and layer 2 technologies, such as Liquid Network. “Investment capital can flow from around the world without friction. Dividends can be distributed to investors instantly, with built-in crypto to maintain confidentiality. Bonds can be traded 24/7 with other assets, such as stablecoins, using protocols that help eliminate the need for trust. Additionally, by using Liquid Network and Blockstream AMP, we are able to accept $ 100 minimum investments to democratize access to the bonus, explains Mow.

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