Home / Bitcoin City: El Salvador continues to lead the way in innovation and adoption

Bitcoin City: El Salvador continues to lead the way in innovation and adoption

4 min read
fairly difficult
El Salvador officially took the step in June this year of becoming the first country in the world to accept Bitcoin as legal tender and now plans to
construct a "Bitcoin City" in the country's southeast.

The June policy shift obliged all local businesses from hair salons to coffee shops to accept Bitcoin as payment and meant the country would accept both US dollars and Bitcoin for all transactions.

Since the introduction of Bitcoin as a currency, more citizens of El Salvador have a Bitcoin wallet than they do a traditional bank account.

It is estimated that around 2 billion people in the world right are currently unbanked, by simply having a mobile phone or access to a computer, these people are able to tap into the Bitcoin network.

Bitcoin city

As a superlative follow-up to its audacious plans (or, in some people's eyes, a rescue attempt) El Salvador is now hatching plans for a Bitcoin City, unveiled on 21 November at Bitcoin Week by El Salvadorean president Nayib Bukele – a notable millennial in the country's political history of typically senior presidents.

According to Mr Bukele, access to Bitcoin will allow millions of El Salvadoreans living in the US to send money back home with the notable benefit being a complete lack of commissions and transfer waiting times.

Not stopping there, El Salvador will launch a US$1 billion "Bitcoin bond" to help fund the construction of its new Bitcoin city along the volcanically active Gulf of Fonseca – a 260km stretch of coastline in Central America.

The government plans on building a power plant adjacent to the Conchagua volcano in the southeast of the country to provide energy for both the city and Bitcoin mining, the president said.

Construction is expected to commence next year and is already being touted as the future jewel of a crypto "municipality" offering a variety of living and investment opportunities.

Bitcoin metropolis in a crypto municipality

In his presentation last week, Bukele explained Bitcoin City will be a fully functioning metropolis containing both residential and commercial areas, as well as restaurants and an airport.

Current plans see…
George Is An Award-Winning Market Analyst Who Has Authored Articles, Editorial Opinion Pieces For Multiple Publications Around The World. He Has Written About A Wide Variety Of Topics Including Financial Markets, Stocks, Trading, Politics
Read full article