More than two years after becoming the first country to adopt Bitcoin as a legal tender, El Salvador has taken another big step towards promoting cryptocurrency.
What Has El Salvador Announced?
reuters
The government of El Salvador, alongside the stablecoin company Tether, announced a joint initiative called “Adopting El Salvador Freedom” last week that allows foreigners to obtain a Salvadoran passport in exchange for paying $1 million in Bitcoin.
With an annual cap of 1,000 participants, this initiative aims to draw high-net-worth individuals, offering them residency and eventual citizenship in return for their investment.
The program’s framework requires a $1 million investment in BTC or USDT, with successful applicants gaining eligibility for a Salvadoran passport and citizenship. Adriana Mira, El Salvador’s Vice Minister of Foreign Affairs, highlighted the program as a significant step for those wishing to contribute to El Salvador’s prosperous future, as per Bitcoin news report.
According to a statement from Tether, the new visa program enables participants to obtain a Salvadoran passport through a one-time payment of $1 million in Bitcoin, which the company is describing as an “investment,” although it is unclear where the funding will be directed. The program is seeking “visionary individuals,” including “high-net-worth investors.”
Also Read: Why El Salvador Has Introduced $1000 Tax On Indian Travelers
When Did El Salvador Adopt Bitcoin As Legal Tender?
businessinsider
In September 2021, El Salvador became the first country to adopt Bitcoin as legal tender, mandating that businesses accept the leading cryptocurrency as a form of payment and rolling out a digital wallet called “Chivo,” incentivizing citizens to partake with a $30 sign-up bonus in Bitcoin.
The plan turned out to be controversial with Salvadorans protesting the move—alongside President Nayib Bukele’s concerning autocratic shift—and adoption was slow, with the vast majority of citizens sticking with cash. Meanwhile, Bukele’s spending tens of millions in federal funds on Bitcoin proved disastrous, with its price plummeting from an all-time high of around $69,000 in November 2021—when Bukele announced the development of a “Bitcoin City”—to under $17,000 at the beginning of 2023, as per Fortune.
How Did Bitcoin Boost The Country’s Tourism?
Reuters
Despite the ups and downs in Bitcoin’s price, El Salvador has proved popular with Bitcoin enthusiasts from around the world, with the country’s tourism minister announcing in May that travellers were flocking to the country in historic numbers, driven by its commitment to crypto. That included many of the international community’s most prominent “Bitcoin maxis,” such as the influential company Swan Bitcoin, which opened a house in El Zonte, a surf town largely credited for starting the country’s Bitcoin experiment.
Also Read; The Story Of One Of India’s First Crypto Billionaires Jaynti Kanani
For the latest and most interesting financial news, keep reading Indiatimes Worth. Click here.