Bitcoin Law in El Salvador

E56772

Bitcoin Law in El Salvador is the 2021 legislation that made Bitcoin legal tender in the country, aiming to promote financial inclusion, attract investment, and modernize its economy.


Statements (49)
Predicate Object
instanceOf El Salvadoran law
cryptocurrency legislation
legal tender law
capitalGainsTreatment no capital gains tax on Bitcoin exchange for legal tender
citizenIncentive US$30 in Bitcoin airdrop to users of Chivo Wallet
controversy concerns from international financial institutions
domestic protests and skepticism about Bitcoin volatility
country El Salvador NERFINISHED
createdInstitution Bitcoin Trust
criticizedBy International Monetary Fund
World Bank
dateOfEnactment 2021-06-09
effectiveDate 2021-09-07
exception people who do not have access to the technologies that allow them to carry out transactions in Bitcoin are excluded from the obligation
exchangeRateDetermination exchange rate between Bitcoin and USD is freely established by the market
globalSignificance first law in the world to make Bitcoin legal tender nationwide
implementingAuthority Central Reserve Bank of El Salvador
Ministry of Economy of El Salvador
Superintendency of the Financial System of El Salvador
languageOfText Spanish
legalTender Bitcoin
United States dollar
obligation all economic agents must accept Bitcoin as payment when offered by whoever acquires a good or service
passedBy Legislative Assembly of El Salvador
priceDisplayRequirement prices may be expressed in Bitcoin
primaryObjective attract foreign investment
increase use of digital payments
modernize the Salvadoran economy
promote financial inclusion
reduce remittance costs
proposedBy Nayib Bukele
proposedByOffice President of El Salvador
relatedConcept cryptocurrency adoption
financial inclusion in developing countries
legal tender
relatedProgram Chivo ATMs
Chivo Wallet
scope nationwide
sectorImpact banking and financial services
remittances sector
technology and fintech
tourism
supporter Nayib Bukele
New Ideas party
taxTreatment tax contributions can be paid in Bitcoin
trustManager Banco de Desarrollo de El Salvador
trustPurpose guarantee automatic and instantaneous convertibility from Bitcoin to USD
unitOfAccount United States dollar remains reference currency
voteResult passed with supermajority

Referenced by (1)
Subject (surface form when different) Predicate
Nayib Bukele
implementedPolicy

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