Reddit posters suggested that if all of the 3,316,862 community members of Reddit buy $30 of Bitcoin each on September 7, the total amount of currency added will be $99,505,860.

At one point Monday, Bitcoin has surged, hitting $52,000, which is its highest level since May. After Bitcoin fell below $30,000 in July, this has come amid a broader resurgence in cryptocurrencies.

A fund of $150 million is created by the El Salvador government to finance the conversion of Bitcoin into U.S. dollars. The government’s digital wallet is named 'Chivo'. Citizens who download this wallet by entering their ID number will receive $30 in Bitcoin for free. 

This $30 in Bitcoin is meant to increase the awareness and usage of cryptocurrencies. Hence citizens can spend the amount only in bitcoin and can’t convert it into US dollars. Those citizens who are paid with it will only be able to convert it.

With El Salvador having a population of almost 6.5 million, Alejandro Zelaya, the Salvadoran Finance Minister, expects 2.5 million citizens to download the wallet.

With the introduction of Bitcoin, El Salvador has also begun installing Bitcoin ATMs that would help citizens convert the digital currency into U.S. dollars. President Bukele wants to use crypto to bring tourists and entrepreneurs to the Central American destination.

Twitter users have started a move meant to show support for El Salvador’s Bitcoin law via the #7SeptemberBuyBTC hashtag. Users have been sharing their plans to coordinate $30 purchases of Bitcoin. 

Some prominent figures have also joined the campaign. This includes Michael Saylor, MicroStrategy’s CEO, who tweeted, “On September 7, El Salvador will officially begin using #Bitcoin as its national currency alongside the U.S. dollar. Every cyber hornet. I know is planning to buy $30 in BTC tomorrow in solidarity with the people of #ElSalvador and their leader @nayibbukele.” The tweet was followed by a poll on which almost 90,000+ votes were cast. As many as 83% of voters answered in affirmation.

The largest Bitcoin-themed group on Reddit, r/Bitcoin, consisting of 3.3 million strong members, are also being urged to join the action. 

Rushali Das

CBW - External Analyst

INDIA