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El Salvador races to become the Bitcoin capital of the world

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Pierce said that the government’s efforts left a deep impression on him. “This government is very entrepreneurial,” he said. “They seem to complete their work at lightning speed.” He said he is trying to organize a “large conference” in the country.

Lauren Bissell, who was an employee of Cambridge Analytica, later transformed into a blockchain and Bitcoin entrepreneur, and was a member of the Pierce delegation. She said the government figures she met during the trip were “impressed”.

However, Bissell admits that the road map for Bitcoin adoption looks very ambitious. “There will be many hours without sleep. There is a lot of work to do,” she said. “But I think the launch will be successful.”

With the countdown to Bitcoin Day only 69 days, the specific details required to make cryptocurrency work as legal tender remain a mirage. Athena, a company that was originally suggested to install 1,000 ATMs nationwide (And challenged by Bukele on Twitter, requiring 1,500 deployments) will only start with 14. It also takes time to go from volcano emoji to reality. Alex Brammer, vice president of business development at the cryptocurrency mining company Luxor, said: “El Salvador seems to have abundant geothermal energy and is at least a friendly jurisdiction for now.” “There is a foundation there. The facility will take years.” Even the Bitcoin law does not seem to be complete: it redrafted a new currency system, hurriedly outlined in two pages and 16 articles, which is why more detailed regulations are expected to be issued soon .

What is a real booker game? One case where his actions are often repeated is that Bitcoin will “provide banking services for people who do not have a bank account.” This stale mantra is usually empty talk, but it may have some advantages here, because 70% of El Salvador’s population does not have a bank account or access to a simple payment solution. According to this line of thinking, the government-supported Bitcoin wallet, as a smartphone application, can be said to cover more people than existing banking service providers, and may provide a convenient and low-commission medium for Salvadoran diasporas to remit money. money transfer.A kind El Zonte’s small-scale Bitcoin project-A seaside town in northern El Salvador-has achieved certain success in improving the efficiency of local economic operations, and has been praised for inspiring Bukele. In this article, Bukele is an avant-garde maverick who uses liberation techniques to rescue his people from poverty entrusted to it by financial institutions.

However, this narrative has problems. Someone pointed out that only 45% The population of the country has access to the Internet-and an Internet connection is required to use the application. ICEFI chief economist Ricardo Barrientos (Ricardo Barrientos), a Guatemala-based research institute focused on fiscal research, predicts that Bitcoin will be regarded as a “weak currency” and employers will save in US dollars As a unit, and use more volatile Bitcoin to pay them wages. worker. “This class division can cause social tensions-this is the source of the disaster,” Barrientos said. Barrientos’ report on this topic for ICEFI cleverly stated that by making Bitcoin a legal tender without installing any anti-money laundering checks, the government plans to encourage “certain types of acquisitions or investments” by creating a parallel market. , Where “opaque operations” can occur.

Barrientos expects Buckler to back down by September 7 under pressure from international financial institutions and some of his own advisers. If this does not happen, Barrientos hopes that Bitcoin will not become popular among the crowd. “The best scenario is that no one uses it. Everyone continues to use dollars, except for some drugs,” Barrientos said. “Hope there will be a natural debit currency.”

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