Today is the promised day for Bitcoin to be officially approved in El Salvador.
President Najib Bukele announced the achievement on Twitter, telling his followers that his country had just bought its first 200 bitcoins.
President Bukele indicated that the Central American country will buy more bitcoin as the deadline approaches to make El Salvador the first country to officially recognize cryptocurrency as legal tender.
The president tweeted early Monday afternoon:
At the current bitcoin price of $52,000 for 1 BTC, the current purchase value is around $10.4 million.
Hours later, a Reuters report appeared that El Salvador held 400 bitcoins.
El Salvador officially adopts Bitcoin:
Bukele expressed his gratitude to blockchain technology and the Bitcoin industry for innovations that his government has enthusiastically embraced, tweeting yesterday:
Tomorrow, for the first time in history, the eyes of the whole world will turn to El Salvador.
Bitcoin did this.
The bitcoin purchases will allow the government to provide liquidity to its new bitcoin economy so that businesses, families and individuals can make or accept payments in bitcoin if they so choose.
Today, Tuesday, El Salvador will be the first country in history to adopt bitcoin or any other cryptocurrency as its official money.
The Salvadoran Congress approved the radical financial, technological and economic experiment in June with a majority of 62 votes out of 84.
The primary cryptocurrency will not be the country’s only money, as it will continue to use the US dollar as the official currency as it has since 2001.
Bitcoin fever sweeps Latin America
But many still worry that Bitcoin’s price volatility, or even a total collapse of the 12-year-old currency, will cause problems for the citizens of El Salvador.
This led to massive anti-Bitcoin protests in the country a week ago.
However, El Salvador will not replace bitcoins with dollars, will not require anyone to accept bitcoins, and will provide facilities for instant conversion between the two currencies.
President Najib Bukele’s bold foray into bitcoin appears to have spurred other Latin American countries to speed up adoption.
Last month, Cuba rushed to join El Salvador.
The island nation has not undertaken its reforms as much as it did in Central America, but has legalized and regulated cryptocurrencies.
Meanwhile, Honduras also acquired Bitcoin ATMs.
Reuters described it as a symptom of the bitcoin fever sweeping the world.