Naija News understands that the development makes the country the first nation to approve the cryptocurrency Bitcoin as a legal tender. The nation’s President, Nayib Bukele made the announcement after Lawmakers in the Central American nation’s Congress passed a bill late Tuesday, June 8.
“The Bitcoin law is ambitious, but simple,” Bukele said on Twitter. “Furthermore it is well structured to have zero risk for those who do not want to take risks. The government will guarantee the convertibility to the exact value in dollars at the moment of the transaction.”
He added that the government will guarantee convertibility to dollars at the time of transaction through a trust created at the country’s development bank BANDESAL.
“They have to take the Bitcoin, but they don’t have to take the risk. We might earn some money or we might lose some money, but it doesn’t matter. The purpose of the trust fund is not to make money but to support making Bitcoin a legal tender,” Bukele reiterated.
Its use as legal tender in El Salvador will go into law in 90 days, with the bitcoin-dollar exchange rate set by the market.
Meanwhile, a call has gone out for the arrest and prosecution of Nigeria’s Minister of Justice and Attorney-General of the Federation, Abubakar Malami over alleged involvement in cryptocurrency trading despite government ban.
The call was made by ex-presidential aide, Reno Omokri who revealed an icon spotted on the screenshot shared by Malami after deactivating his Twitter account, Naija News reports.