The recent uptake by billionaires and the intention of El Salvador is to make Bitcoin (BTC) legal money. The year 2021 is likely to go down in history as one of Bitcoin’s (BTC) most intriguing years.
In the case of El Salvador, it appears as though the entire world is waiting to see if the experiment will be a success or a complete failure for the Central American country.
With the formal introduction of Bitcoin as legal money in El Salvador on Sept. 7, a surge of anti-Bitcoin rallies has sparked concerns and confusion about how the new law will be implemented.
The foundational cryptocurrency is experiencing some difficulties. This includes arresting those criticizing the Salvadoran government over the new law to a surge of residents across the country. Therefore, denouncing Bitcoin’s legal position.
What happened when Bitcoin became legal tender?
It all started in early June when President of El Salvador, Nayib Bukele tweeted that the country’s legislature had passed a measure making Bitcoin legal money. The regulation was due to take effect on Sept. 7, allowing the country’s 4.5 million people to make purchases using Bitcoin in businesses around the country.
Furthermore, Bukele promised that no one would be compelled to adopt Bitcoin. “Someone can always queue up at Western Union and pay a commission,” the 40-year-old president of El Salvador stated in a statement.
“What if someone doesn’t want to use Bitcoin? [Well] don’t download the app and continue living your normal life. Nobody is going to take your dollars,” he said.
The initial wave of opposition in El Salvador
Following the news, a group of demonstrators known as the Popular Resistance and Rebellion Block (PRRB) formed to voice their opposition to the Bitcoin legislation.
Although the opposition group in El Salvador cited difficulties such as Bitcoin’s volatility as grounds for caution, its primary allegation is that the law primarily benefits enormous corporations involved in suspected money laundering for the benefit of corrupt authorities.
Indeed, the plan to make Bitcoin legal money includes several intriguing suggestions. For example, as a capital gains tax exemption for BTC. With a three BTC investment in El Salvador, the measure also guaranteed investors permanent residency in the nation.
