The President of El Salvador has announced that the country will build 20 new schools with the profits made from buying Bitcoin.
President Najib Bukele made the announcement at an event marking the start of construction of the country’s first public veterinary hospital, which is also funded by cryptocurrency dividends.
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The announcement comes less than two months after El Salvador became the first country in the world to officially recognize bitcoin as a legal tender form by passing a bitcoin law.
The state also created the Salvadoran Bitcoin Adoption Fund, which has purchased more than 1,000 bitcoins over the past few months.
The purchase of cryptocurrencies has coincided with a significant rise in the price of bitcoin, which has risen by nearly 40 percent since the introduction of the bitcoin law.
“I want to announce that with a few million bitcoin profits remaining, we will build 20 fully equipped and modern bitcoin schools,” said President Bukele.
“God willing, more business will come from the trust profits created and the law created because we ignored the opposition.”
President Bukele also claimed that the Bitcoin Act allowed citizens to receive remittance payments without paying expensive fees.
Remittances account for about 23 percent of El Salvador’s GDP, which was one of the main reasons for enforcing the law. Another reason was to reduce reliance on the US dollar as a reserve currency, while providing a direct route to financial services in a country where about 70 percent of the population does not have a bank account but more than 90 percent have a bank account. smart phone.
In order to encourage bitcoin adoption in the province, every Salvadoran received $30 worth of bitcoin in September through the Chivo wallet app. This means that anyone who holds their cryptocurrency will get around $42 at the current exchange rates.
El Salvador is also building a bitcoin mining facility powered by geothermal energy produced by volcanoes.