Bitcoin
El Salvador’s economic future shines with a Bitcoin-centric vision
On June 1, President Nayib Bukele began his second term in the National Palace of San Salvador, enjoying a popularity that strengthened his power and influence in El Salvador.
In his speech, the 42-year-old president promised to take decisive measures to face the Central American country’s economic challenges. This pledge comes on the heels of his previous success in combating gang violence during his first term.
How El Salvador’s Economy Will Grow with Bitcoin
Many Salvadorans are optimistic that he will fulfill his re-election promise to usher in a “period of prosperity”, driven by its pro-Bitcoin policies. Following a recent meeting with Bukele, ARK Invest CEO Cathie Wood predicted that El Salvador’s GDP could increase tenfold over the next five years thanks to its focus on Bitcoin and artificial intelligence.
“President Bukele’s determination to transform El Salvador into an oasis for the bitcoin and AI communities – two of the greatest economic and technological revolutions in history – is why I believe its real GDP could increase 10-fold over the next five years” , Wood he wrote.
Max Keizer, senior Bitcoin advisor to President Bukele, outlined how the country could achieve this growth. He imagines El Salvador operating in a circular fashion Debt-Free Bitcoin Standard and generating 10% of global production Bitcoin hash rate using geothermal energy from volcanoes.
“The country’s wealth will be controlled by Salvadorans who run their own Bitcoin nodes. Central bankers will have no power and the IMF will be long gone,” Keiser said. added.
See more information: What is Bitcoin? A Guide to the Original Cryptocurrency
El Salvador Bitcoin Investment. Source: Nayibtracker
Bukele has been dubbed the “first president of Bitcoin” by many in the industry. In 2021, he made Bitcoin a legal tender following the passage of the historic “Bitcoin Law.” Since then, citizens can use Bitcoin for goods, services and taxes. Furthermore, the country obtains the main digital asset through various services, including a citizenship passport programmining and government services, which convert Bitcoin into US dollars for local businesses.
Already, Bukele’s initiative significantly boosted the country’s economy, with its BTC Treasury showing more than $70 million in unrealized profits.
In fact, other countries are taking notice and exploring ways to replicate this success. Last week, BeInCrypto reported that major Argentine officials met with their Salvadoran counterparts to discuss Bitcoin regulation strategies used in El Salvador.
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