The central American nation of El Salvador skyrocketed in terms of popularity on a global scale a few days ago. The small country that has been struggling with a financial crisis, inflation, and economic decline has recently shown resolve to adopt Bitcoin as legal tender. According to President Nayib Bukele, the flagship cryptocurrency could offer a shield against the decreasing value of the dollar due to the disruptive policies of the United States. Bukele can be seen donning a laser eyes avatar on his Twitter profile these days.
To make this idea a reality, the legislative assembly has passed the Bitcoin bill with a majority vote. Some experts have argued that it could become a problem for the local merchants to start selling goods and services immediately against Bitcoin. Some analysts also state that it might take away the freedom of financing options from the locals. It should be noted that once the Bitcoin bill is written into the law, it would take 90 days to get into effect. Keeping these hurdles in mind, the Central American Bank for Economic Integration (CBEI) has announced that it would provide assistance to drive the change smoothly.
The CBEI will Form a Task Force Team with the Relevant Salvadorian Ministries to Make Crypto Transition more Liquid
CBEI is a multilateral economic development bank in the region established in 1960. The vision of the bank was to promote economic prosperity and encourage balanced commerce for Central American nations. Including El Salvador, other founding members are Honduras, Costa Rica, Guatemala, and Nicaragua. At present, the banking enterprise has about 15 member countries. Dante Mossi, President of the CBEI, told the media about its new endeavor to adopt Bitcoin.
As per the news conference, the CBEI banking unit would delegate a team to work in alliance with the El Salvador Ministry of Commerce. Another team from the Central Bank of El Salvador would also be assigned to join the assignment. The main aim of the new task force would be to pave the way for mass Bitcoin adoption in Salvador and work on solutions for removing hurdles for the local merchant community and commercial unions.
CBEI President Claims that Bitcoin Adoption would Open a Lot of Doors for Economic Development
In his recent media briefing, President Mossi claimed that Bitcoin adoption has the potential to unlock the door for prosperity and development in the region. His remarks maintain that the bank stance on Bitcoin adoption is a positive one. Other banking enterprises such as IMF have issued financial and legal reservations about Bitcoin acceptance as a legal tender. IMF even claimed that it would hinder the approval of a loan for the country.
However, thus far, the Salvadorian people seem to be satisfied with their new resolve and moving forward rapidly to make their crypto dreams a reality. CBEI President remarks that Bitcoin is a huge opportunity for the locals, and the banking enterprise is happy to be a part of Salvador’s Bitcoin journey. In the middle of a volatile market and blanket bans from nations like China and the USA, the crypto community is witnessing history in the making as Salvador becomes the first nation in the world to accept Bitcoin as currency. The addition of multilateral CBEI would further strengthen this progression.