At the recent Miss Universe event in New Orleans, El Salvador’s representative, Alejandra Guajardo, made a bold fashion statement by wearing an outfit showcasing different currencies throughout the country’s history, including Bitcoin.
This comes just days after El Salvador approved a law that intends to regulate the issuance of digital assets by both state and private entities.
Notably, El Salvador is the first country to recognize Bitcoin as a legal tender, requiring all business entities to accept the cryptocurrency.
The ruling party, in collaboration with the President of El Salvador, Nayib Bukele, issued the bill as a way to attract national and foreign investors and create new financing opportunities for individuals, institutions, and the government.
As per the legislation, the purpose of the law is “to establish the legal framework that grants legal certainty to transfer operations to any title of digital assets used in public issuance offers.”
The National Commission for Digital Assets and the Bitcoin Proceeds Administration Agency will be designated to administer, protect, and invest funds from the government’s public offers of digital assets. The provisions of the law wouldn’t be applicable to the Central Bank Digital Currency (CBDCs) or the fiat currencies.
Questions were raised regarding the connection of the bill to the launch of Bitcoin volcano bonds, but the President was reluctant to comment.
This new law is a significant step in the mainstream adoption of digital assets and could open up new opportunities for individuals, institutions, and the government.
