El Salvador prepares bill to regulate bitcoin bonds
The development of such documents is necessary to maintain the viability of financial instruments
05.01.2022 - 09:35
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What’s new? El Salvador's government, led by President Nayib Bukele, has prepared a bill designed to create a legal framework for bitcoin bonds. Alejandro Zelaya, head of the treasury, told Salvadoran media El Mundo that the bill will cover regulations about issuing securities in the form of cryptocurrency.
Information on the El Mundo website
What does the treasury’s head say? He said the drafting of such documents is necessary to maintain the viability of bitcoin bonds, which were offered in November 2021. He added:
“[This is] to provide a legal structure and legal certainty to everyone who buys the bitcoin bond.”
What are the prospects? As previously stated, the investors have already invested $300 million in El Salvador bonds. Part of the $1 billion in bond proceeds will be used to fund the Bitcoin City initiative. The other part will be used by the government to buy bitcoins.
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