Alejandro Zelaya, El Salvador’s finance minister, said on local television that the country is attempting to determine the best time to debut its Bitcoin-backed bond.
Zelaya said the launch might take place in the Central American country between March 15 and March 20 on the Salvadoran TV show.
“We are still finishing some details, it’s almost all ready. It’s a matter of timing also. It’s not so simple… This is a question of timing watching the market, we believe between March 15-20 the timing is adequate.”
The finance minister acknowledged that it is very difficult to find an acceptable time to launch a bond backed by a virtual currency. Zelaya said that one could not have predicted Russia’s invasion of Ukraine a few months ago, and so timing is never easy.
“There are many things from the international context we must keep watching and the omission is one of those aspects.”
President Bukele announced the Bitcoin bond in November
Half of the $1 billion collected would be used to build energy and mining infrastructure, while the other half would be used to increase El Salvador’s digital assets, according to the President, Nayib Bukele.
The proceeds will go toward the purchase of additional cryptocurrencies and the construction of “Bitcoin City,” a planned metropolis that will use the power of a nearby volcano to “mine” the digital asset.
Volcanic energy ushers in clean mining for the asset that has perennially been hit with negative press around its carbon footprint.
Zelaya stated that the use of Liquid would allow investors to participate in the transaction for as little as $100.
“Bonds will comply with all financial market regulations,” he added. “All [know-your-customer] requirements will be met, all due diligence will be done.”
As of January 14th, only 27% of the country’s population trusts the digital asset, but El Salvadoran became the first country in the world to adopt it as legal tender in 2021.
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