El Salvador's digital asset issuance law was approved by an overwhelming majority supporting President Nayib Bukele in the National Assembly. The president's signature is awaited for the bill to be enacted.
Bukele reported that El Salvador's digital asset issuance bill, which paves the way for the issuance of the long-awaited Bitcoin Bond or Volcano Bond, It is already a fact.
The aforementioned bill was Approved with 62 votes in favor and 16 votes against in the National Assembly on Wednesday. This bill will now be sent to the Salvadoran president for his signature and promulgation.
Now that the digital asset issuance law has been approved, El Salvador will soon be able to begin issuing the $1.000 billion Bitcoin Bond, one that, among other things, will be intended to finance the metropolis “Bitcoin City”, which the country wants to build at the foot of the Conchagua volcano to boost its technological development and establish itself as a global center for cryptoasset innovation.
El Salvador's Digital Asset Issuance Law
In addition to paving the way for the issuance of the Bitcoin Bond, the digital asset issuance law also recognizes crypto assets in the country.
As he explained The National Bitcoin Office, announced last November, the law on the issuance of digital assets establishes a regulatory framework for the rest of the crypto assets that exist in the market, in addition to Bitcoin, which became legal tender in the country in September 2021.
The newly approved law also strengthens the regulatory environment for cryptocurrencies in El Salvador, offering greater protections to cryptocurrency users and investors against bad actors and opening the doors to businesses and companies that want to innovate within the country's crypto space.
A new regulator for cryptocurrencies is born in El Salvador
As part of the digital asset issuance law, El Salvador will create a new regulatory body that will be responsible for applying and enforcing securities laws. This is the National Digital Assets Commission which aims to regulate the cryptocurrency ecosystem that is developing in El Salvador.
The National Bitcoin Office also said that this regulatory organization will also be in charge of safeguarding the rights of crypto investors, as well as bond buyers and issuers.
Economic freedom, sovereignty and prosperity
The new Salvadoran legislation for cryptocurrencies also aims to promote the consolidation of El Salvador as the nation of Bitcoin.
As the first country in the world to adopt Bitcoin as legal tender, El Salvador has become at the forefront of technological innovationThe Central American country wants to promote the use and adoption of this cryptocurrency as a tool for “economic freedom, financial sovereignty, resistance to censorship and unconfiscatable wealth.”
El Salvador is estimated to own over 2.400 BTC, although there is no official confirmation on this.
The issuance of the Bitcoin Bond will also help the country strengthen its Bitcoin mining infrastructure and facilities and grow its investment portfolio in this digital asset.
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