Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

'The time has come': El Salvador makes bitcoin legal tender

06/09/2021 | 02:45pm EDT

With 62 out of 84 possible votes, lawmakers voted in favor of the move to create a law to adopt bitcoin, despite concern about the potential impact on El Salvador's program with the International Monetary Fund.

Bukele has touted the use of bitcoin for its potential to help Salvadorans living abroad to send remittances back home, while saying the U.S. dollar will also continue as legal tender.

"It will bring financial inclusion, investment, tourism, innovation and economic development for our country," Bukele said in a tweet shortly before the vote in Congress, which is controlled by his party and allies.

The use of bitcoin will be optional for individuals and would not bring risks to users, Bukele said, with the government guaranteeing convertibility to dollars at the time of transaction through a trust created at the country's development bank BANDESAL.

"Bitcoiners around the world, the time has come," said New Ideas Party deputy William Soriano after the vote. "We did our part, now the ball is on your side."

Under the law, bitcoin must be accepted by firms when offered as payment for goods and services. Tax contributions can also be paid in the cryptocurrency.

Its use as legal tender will begin in 90 days, with the bitcoin-dollar exchange rate set by the market.


© Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
BITCOIN - EURO 3.18% 28002.14 Real-time Quote.15.16%
BITCOIN - UNITED STATES DOLLAR 2.97% 33381.72 Real-time Quote.12.30%
Latest news "Economy & Forex"
05:23pRosengren says counter cyclical capital buffer was left at zero and should be re-examined
RE
05:23pRosengren says we need to do a better job of making sure that financing of treasurys and mortgage-backed securities continues
RE
05:22pRosengren says prime money market funds need to be cleaned up
RE
05:22pRosengren says money market fund reform after last financial crisis made things worse
RE
05:18pRosengren says with vaccines we probably won't need fiscal stimulus for as long as other countries
RE
05:17pRosengren says if forecasts are right we will be at or close to full employment next year
RE
05:17pREUTERS EVENTS : Allstate seeks more agents, but not as 'human modems'
RE
05:17pRosengren says that being said you can't continue to have the fiscal stimulus we've had
RE
05:17pRosengren says this is an appropriate time to have a lot of fiscal stimulus
RE
05:15pTSX falls 0.18% to 20,164.39
RE
Latest news "Economy & Forex"