Central America's largest development bank will help El Salvador to implement bitcoin as legal tender

Shivangi Mujumdar Follow

INDIA

Jun, 15 2021

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The Central American Bank for Economic Integration (CABEI) declared this Monday (14th-June-2021) that it will work together with the Government of El Salvador to deliver advice on the launch of the new cryptocurrency scheme, named Bitcoin.

CABEI Executive President Dante Mossi tweeted that “We are very proud that the first door to request help and support in the implementation of this government decision has been the Central American Bank for Economic Integration”

Mossi said in the press conference that CABEI is creating a technical team that will help El Salvadoran institutions to promote the implementation policy and carry it out successfully and he said he is very pleased to be source of finance and knowledge for El Salvador. During the press conference, Mossi said that they are accompanying El Salvador with adopting cryptocurrency for legal use and CABAIE will be studying everything necessary at technical level for adequate regulations for the bitcoin adoptions

This news derives from a later outstanding move by El Salvador. The country is the initial country in the world to meet the requirements of bitcoin as legal tender. That's a big deal as bitcoin is now next to the dollar as the national currency.

Considering that El Salvador and other countries are now directly switching to a bitcoin standard and saying goodbye to their local currency or the dollar. El Salvador has in progress a new interesting project.

That advantage can be very wide. Firstly, the country seems to be largely concentrating on turning the remittance industry upside down. Much of the money poured into El Salvador largely comes from the United States.

With the support of bitcoin, the Lightning Network and Strike, inexpensive money can now be sent across borders. It's not the case and great percentage of these payments from abroad are made through bitcoin. Still, there is now a chance to do so. And Central American Bank for Economic Integration will help El Salvador with the implementation process in an advisory role.