El Salvador World First Bitcoin City Cryptocurrency Details Here
El Salvador: More than 2 months after becoming the first country to accept Bitcoin as legal tender, El Salvador has brought more excitement to the table by announcing that it is planning to build world’s first ‘Bitcoin City’, according to a Reuters report. El Salvador President Nayib Bukele said that the Bitcoin city is being planned in the eastern region of La Union.Also Read – Not Invested a ‘Single Rupee’ in Cryptocurrencies, Says Billionaire Anand Mahindra
The El Salvador President was speaking at the Latin American Bitcoin and Blockchain Conference. The report further said that the new city would get geothermal power from a volcano and the only tax that will be levied would be the VAT. “This is going to make El Salvador the financial center of the world,” Bukele was quoted as saying by Reuters. Also Read – Budget 2022: Centre Mulls Big Change In Laws To Tax Cryptocurrency Gains
The government is already running a pilot Bitcoin mining venture at another geothermal power plant beside the Tecapa volcano, according to Associated Press. Also Read – Cryptocurrency Latest News Update: MP’s Parliamentary First Meet On Crypto, MPs Raised an Alarm | Must Watch
Circular City With Airport, Residential And Commercial Areas
Bukele said during his speech at an event, “If you want bitcoin to spread over the world, we should build some Alexandrias.” The new city, according to media reports, will be a circular city.
It will have an airport, residential and commercial areas and a central plaza looking like the symbol of Bitcoin. According to media reports, the president also talked about digital education, technology and a port.
“Invest here and earn all the money you want,” Bukele told the cheering crowd, as reported by AP.
The country is also planning to issue first ‘volcano bonds’. These will be 10-year issue bonds and would be worth 1 Billion Dollars. It will carry a coupon of 6.5 per cent and would be backed by Bitcoin.
Samsom Mow, CSO Blocksream said, according to Reuters, After a lock-in period of five years, the country will sell some bitcoins used for bonds and offer “additional coupon” to the investors.