Residents of San Salvador take to the streets to protest the acceptance of Bitcoin as a payment method. The first outpourings of rage began in June when local governments approved a bill to create a new asset class.
Many local workers, retirees, and even veterans were among the demonstrators. They walked to express their concerns about the integration of digital currency. They are dissatisfied that the authorities may use the new asset, preferably in US dollars, to pay pensions and social security in the future.
One of the protesters, a Supreme Court workers union member, expressed dissatisfaction with the idea of using a currency whose value changes every second and does not lend itself to any control.
El Salvador’s President Nayib Bukele declared the election results successful on June 9, but the law will not effect until September 7. According to Bukele, BTC will make transfers of funds much easier and more convenient for Salvadorans who live and work outside the country.
Simultaneously, neighboring countries are closely monitoring the progress of cryptocurrencies in El Salvador, attempting to gauge how successful the experience of introducing a new asset class for cross-border transfers will be. Of course, El Salvador will not be the last Central American country to accept Bitcoin as payment if this event succeeds. After all, transmissions from the United States have long been an important source of income for tens, if not hundreds, of millions of people in this country.
The CABEI organization’s Dante Mossi also confirmed the possibility of follower countries emerging. He claimed that countries like Guatemala, El Salvador, and Honduras would benefit greatly from using Bitcoin equivalents when sending payments. CABEI is now actively providing technical assistance to El Salvador to integrate BTC and assist the country after the World Bank rejected the idea of adopting cryptocurrency due to its lack of transparency.
CABEI Investment Department spokesman Carlos Sanchez stated that the organization is committed to assisting El Salvador in developing a regulatory framework to promote Bitcoin adoption throughout the country. At the same time, we are working hard to adhere to stringent global money-laundering regulations.
According to Autonomous Research, digital currencies now account for less than 1% of total cross-border payments. However, they believe that soon, crypto assets will accommodate the majority of the yearly volume of global transmittals, which amounts to $500 billion.