El Salvador’s Finance Minister Says a Bitcoin-Backed Bond Might be Issued March 15-20
Zelaya stated on the Salvadoran TV show "Frente a Frente" that the launch might take place between March 15 and March 20 in the Central American country.
Zelaya stated:
“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.”
When discussing the financial markets and the present geopolitical environment that affects them, the finance minister admitted that finding an appropriate time to debut the Bitcoin-backed bond is challenging. The invasion of Ukraine by Russia, Zelaya said, could not have been predicted a few months ago, and that time is never straightforward.
He added:
“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
El Salvador's President, Nayib Bukele, initially announced the Bitcoin bond in November, saying that half of the $1 billion raised would be used to expand energy and Bitcoin mining infrastructure, while the other half would be used to boost the country's digital assets.
The funds will be used to buy more bitcoins and to build "Bitcoin City," a projected city that would "mine" the digital currency using geothermal energy from a nearby volcano.
Volcanic energy ushers in a new era of sustainable mining for an asset that has long been criticized for its carbon impact.
Previously, Zelaya indicated that using Liquid would let investors contribute as little as $100 in the deal.
“Bonds will comply with all financial market regulations,” he added. “All [know-your-customer] requirements will be met, all due diligence will be done.”
El Salvador was the first government in the world to adopt Bitcoin (BTC) as legal cash in 2021, despite the fact that only 27% of the country's population trusts the digital asset as of January 14.