Tomorrow will make history as El Salvador becomes the first country in the world to adopt bitcoin as a legal tender. In a move of empowerment, the small Central American government will take a leap of courage to strengthen its economy and democratize the financial sovereignty of its people.
Access to the traditional banking system is limited in El Salvador, as more than 70% of the population does not have a bank account. But starting tomorrow, millions of Salvadorans will be able to legally use bitcoin to store and trade value, reduce some barriers, and increase access to financial services.
Unlike the authorized banking system, which determines who can join and on what terms, Bitcoin is agnostic to the government and has no permission. Anyone on Earth can use an Internet-connected mobile device to insert themselves into the Bitcoin ecosystem, accessing sound money almost effortlessly from the tip of their fingers.
Compared to the inefficiency of credit scores, banking cables, physical facilities, the need to have permission to store and transfer money, and the limited time availability of all traditional financial services, Bitcoin allows for final settlements without bureaucracy. . At any time of any day of the year, anyone can transact value through the Bitcoin network in a secure, unauthorized and unauthorized manner.
Bitcoin does not care who you are and with whom you are transacting, although it provides both parties with verifiable security and consensus and trusts transactions. Not a single user of the Bitcoin network should believe another – or anything else – it will behave in a certain way because it doesn’t matter. Salvadorans will be able to extract the maximum use and value of Bitcoin, facilitating long-term savings and short-term transaction.
In a broader sense, Bitcoin can also bring tourism and business to El Salvador. The adoption of Bitcoin not only generates positive marketing and awareness, as Michael Saylor of MicroStrategy knows, but also creates an attractive pathway for people and businesses interested in the money revolution, with a complete clarity of Bitcoin as an advantage. badge for El Salvador.
Miners, for example, could find the Central American country a compelling place to set up a business because El Salvador also hosts abundant, cheap, clean energy. The country’s volcanoes offer BTC miners a unique opportunity – which is why President Nayib Bukele has already convened.
In addition, after adopting a stateless currency, the country will also attract citizens of the world who visit or even live there. The combination of beautiful beaches, friendly regulations and taxes may be enough to bring many bitcoins to the small land, further developing and fueling the local economy. In addition, as a legal tender, bitcoin will not involve capital gains taxes.
But most importantly, Bitcoin will assure Salvadorans that their money will not be degraded – no matter what. By opting for bitcoin, the people of El Salvador will have maximum financial sovereignty, being able to use their money for the reason or purpose they deem appropriate, while being sure that their purchasing power will not diminish. Through monetary security and financial sovereignty, Bitcoin restores economic freedom and peace and El Salvador will be the first country to be able to enjoy these benefits more vividly.