Cryptocurrency News

Tonight the bitcoin law will be approved

El Salvador President Nayib Bukele says his bill to make bitcoin legal tender has an almost “100% chance” of passing tonight.

In a Twitter Space conversation he now said that the bill was currently under debate and since his party has 64 out of 84 seats, he expects it to be signed into law later tonight or first tomorrow.

“It comes into effect immediately,” he said, clarifying that the government would allow 90 days to set up the infrastructure.

He added that it would be mandatory for all businesses to accept bitcoin. “They have to take it by law,” he said of the country’s merchants. “If you go to Mexico they have to take your peso.

“In the case of El Salvador bitcoin is going to be legal tender (as is) the US dollar.”

Other Update: The government will release an official bitcoin wallet (though it will be optional). The government also intends to keep bitcoin on its balance sheet but this would require a separate law. Permanent residence will be available to those investing 3 BTC in El Salvador. A trust fund will be established to assume the risks of merchants accepting bitcoin.

The bitcoin law was a bill presented earlier today when Bukele tweeted that “I just sent the bitcoin law to Congress,” and uploaded copies of the bill in Spanish and English.

“The purpose of this law is to regulate bitcoin as an unrestricted legal tender with the power to be free, unlimited in any transaction, and to any title that public or private natural or legal persons are required to fulfill. ,” the bill reads.

The bill includes a list of interesting proposals such as Zero Capital Gains Tax on BTC, tax payments allowed in BTC, and economic agents must “accept” BTC as payment when offered by “whoever receives a good or service”.

According to the bill, the state would provide the infrastructure that would enable bitcoin users to convert from BTC to USD instantly when needed. Additionally, the state will provide “training and mechanisms” to assist citizens unfamiliar with bitcoin – as many will need to learn how to use the digital asset.

Interestingly, following Bukele’s latest announcement, he changed his Twitter profile picture to a blue laser eye, as opposed to the red commonly found in iconic crypto memes.

Bukele’s progressive crypto move has raised the enthusiasm of many politicians across Latin America, who have either touted their own crypto proposals or donated red laser eyes In support of crypto.

On June 7th, Congressman from Paraguay, Carlitos Rezala, posted lazy eyes and promised a Bitcoin announcement later this week.

Mexican Senator the next day Eduardo Murat Hinojosa revealed that it plans to “promote and propose a legal framework for crypto coins in the lower house of Mexico”.

While a Congressman from Panama, Gabriel Silva, also outlined plans to submit a pro-crypto bill on the same day.