El Salvador's Vice President Félix Ulloa highlighted the importance of Bitcoin in boosting the nation's growth and development.
During an interview with Forbes, the Salvadoran vice president highlighted the important role that Bitcoin, the world's largest decentralized cryptocurrency, is playing in the country's economic recovery.
Ulloa manifested that the financial policy that El Salvador has implemented since the approval of the Bitcoin Law, in September 2021, has been key to building a position for the country worldwide.
Since the approval of this law, El Salvador has become the global epicenter of the adoption and use of Bitcoin, being the first country in the world to adopt this cryptocurrency as legal tender within its territory.
Bitcoin and the rebirth of El Salvador
Before Bitcoin, El Salvador was facing many economic difficulties. Therefore, when the Bitcoin Law was approved, there was a lot of backlash on both sides about the tangible benefits that the adoption of the cryptocurrency could offer the country.
JPMorgan, one of the world’s largest banks, was one of the first institutions to criticize Salvadoran President Nayib Bukele’s financial policy, pointing out that the law making Bitcoin legal tender in El Salvador could have significant negative implications for the country, such as making it difficult to access resources from the International Monetary Fund (IMF). In 2021, JPMorgan said that Bukele’s arguments for making Bitcoin legal tender in the territory seemed “far-fetched.”
However, two years after the approval of this law, JPMorgan has again published a report on the country, but this time, recognizing El Salvador's economic achievements.
According to the US bank, El Salvador is showing signs of accelerated recovery and has become one of the strongest economies in the region. Even the international credit rating agency Fitch Rating improved El Salvador's rating this year, and all this, after the adoption of Bitcoin as legal tender.
El Salvador gains a new leadership position in the world
El Salvador's positive results in economic matters, tourism and technological development "are not a matter of chance," said Vice President Ulloa. "It is the result of applying a financial policy from the government of President Nayib Bukele, exercised by our responsible entities" and which is related to Bitcoin.
Ulloa stressed that the most capitalized cryptocurrency on the market has been “a crucial element in the new position that El Salvador has taken on a global level.”
By becoming the first country to adopt Bitcoin as legal tender, El Salvador has attracted a significant number of investors who are currently based in the country. In addition, more than 80 companies related to the Bitcoin and cryptocurrency industry are working in one way or another from El Salvador, said Ulloa. An example of this are the companies Strike and Volcano Energy, which are developing interesting projects that will consolidate El Salvador's leadership in the use and adoption of Bitcoin.
“Bitcoin adoption is helping El Salvador’s rebirth”
Recently, El Salvador attracted the world's largest technology corporation, Google, which revealed a 7-year strategic partnership with the country to promote its technological development and innovation.
Continue reading: JPMorgan: El Salvador, a pioneer in Bitcoin adoption, will see its economy grow by almost 4%
