Although global institutions have issued warnings about their adoption of Bitcoin (Bitcoin), the Salvadoran government continues to seize market opportunities.
As the price of Bitcoin fell below $46,000 on Monday morning, El Salvador’s President Nayib Bukele (Nayib Bukele) Announce On Twitter, the country “buy down”. The Central American government now owns 150 new coins and holds 700 Bitcoins, which are worth close to US$32 million at the time of writing.
Bukele apparently agreed with the “non-financial advice” disclaimer surrounding the crypto ecosystem. He shared his “Presidential Advice” and reminded that “if you buy on dips, they will never beat you.”
-Nayib Bukele (@nayibbukele) September 20, 2021
According to Cointelegraph, El Salvador buys again On the day BTC became the country’s legal tender, Bitcoin experienced a flash crash and fell below US$43,000.
The measures adopted by El Salvador excite the cryptocurrency world, especially when possible Tax exemption for Bitcoin investorsHowever, the government’s decision to adopt Bitcoin as legal tender is not entirely without problems.
Apart from Protests and marches In response to the government’s Bitcoin initiative, the credit rating agency Standard & Poor’s Global stated that the adoption of “already Direct negative impact“For the country’s credit rating. Standard & Poor’s also claimed that this move will damage El Salvador’s chance of obtaining a $1 billion loan agreement from the International Monetary Fund.
related: Bitcoin Day in El Salvador: The first of many or a one-off?
El Salvador has become The first country to recognize Bitcoin as legal tender September 7. At that time, the government held 400 BTC. By taking advantage of the opportunity of two price drops in two weeks and buying 150 coins each time, El Salvador increased its Bitcoin holdings to 700 BTC.