El Salvador's Bitcoin (BTC) bonds, called “Volcano Bonds,” have received regulatory approval from the Commission on Digital Assets (CNAD) and are expected to be issued in Q1 2024.
El Salvador Launches Bitcoin (BTC) Bonds
The bonds will be offered on Bitfinex Securities, a regulated division of crypto exchange Bitfinex.
The bonds were announced by President Nayib Bukele in 2021, shortly after he passed a law that legally recognized Bitcoin (BTC) in the country.
Bukele's goal was to raise $1 billion through Bitcoin-backed bonds and establish a Bitcoin mining industry based solely on renewable energy, including that produced by the country's active volcanoes.
The issuance was initially planned for March 2022 but was postponed several times. However, the digital assets bill was finally passed at the end of November 2022 in the Legislative Assembly, where Bukele's party, Nuevas Ideas, has a large majority.
This development was the second major Bitcoin-focused move in a short time. Previously, El Salvador announced that it would launch the “Freedom VISA” program and grant residence permits to a maximum of 1,000 people per year who invest at least $1 million worth of Bitcoin or Tether (USDT) stablecoins.
*This is not investment advice.
