El Salvador designs 20 draft laws for the legal structure of Bitcoin bonds-funds for the construction of Bitcoin City, the purchase of BTC regulation
El Salvador designs 20 draft laws for the legal structure of Bitcoin bonds-funds for the construction of Bitcoin City, the purchase of BTC regulation
el Salvador prepares the introduction of 20 draft laws in order to create a legal framework for its upcoming Bitcoin bonds. The funds collected are used to build the infrastructure for Bitcoin City and buy more Bitcoin, the Salvadorian government explained.
El Salvador designs a legal framework for Bitcoin bonds
The finance minister of El Salvador, Alejandro Zelaya, said in an interview on local television on Tuesday that his government would send the Congress about 20 invoices about the country's Bitcoin bonds.
The draft laws will cover financial markets and securities investments in order to create a legal basis for the issue of Bitcoin bonds, he said and added that the legislation would create a framework to cover the corresponding market regulation and the output of securities in crypto-assets. The finance minister described:
(this is) to offer everyone who buys the Bitcoin bond a legal structure and legal certainty.
The Salvadorian government said that half of the funds from the Bitcoin bonds are used for the development of the infrastructure and the rest for the purchase of Bitcoin.
The President of El Salvador, Nayib Bukele, terminated his plan to issue Bitcoin bonds worth $ 1 billion with a cupon of 6.5%to finance Bitcoin City. The city is driven by a volcano and no taxes are levied there except for VAT, Bukele continued.
The edition of the Bitcoin bonds is planned for this year. Bukele has predicted this week that it will be overlooked . He also noted that the construction of Bitcoin City is expected to begin this year.
el Salvador has passed a Bitcoin law that btc in September last year in addition to the US dollar. Since then the country has been bought the country 1,391 bitcoins.
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