El Salvador's "Volcano Bonds" Gets Regulatory Approval, Bitcoin-Backed Bonds to Launch in 2024
Summary:
El Salvador's "Volcano Bonds," Bitcoin-backed bonds, have obtained regulatory approval and are set to launch in early 2024. The country's Digital Assets Commission green-lit the bonds, which aim to offset national debt and fund the development of the proposed "Bitcoin City." This move follows a recent launch of a billion-dollar Bitcoin mining project leveraging El Salvador's volcanic resources. More updates will follow as the story develops.
The much-awaited Bitcoin bonds of El Salvador, colloquially known as "Volcano Bonds," have been granted regulatory approval and are slated for a launch in early 2024. El Salvador's Digital Assets Commission has given the green light to the Volcano Bond, with an anticipated issuance in the first quarter of 2024, as revealed in a December 11 communique from El Salvador's National Bitcoin Office (ONBTC). As the Volcano Bond received the blessings of the Digital Assets Commission (CNAD), we can foresee its introduction in the opening months of 2024. This signifies the dawn of novel capital markets founded on Bitcoin in El Salvador.
The affirmation of this move was also subtly suggested by the country's Bitcoin-supporting leader, Nayib Bukele, through his cryptic post: "Wen volcano bond?”
The pioneering step to authorize a legal setup for the Bitcoin-backed bond was undertaken by El Salvador on January 11. The purpose of the Volcano Bond is to offset national debt and finance the building of the proposed "Bitcoin City." Recently, El Salvador embarked on a billion-dollar Bitcoin mining venture, leveraging the country's volcanic resources, in collaboration with Luxor Technology.
This news is still unfolding, and additional details will be provided as they emerge.
Published At
12/12/2023 5:39:43 AM
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