El Salvador Draws Attention with Bitcoin Adoption: Another Move from the Country!

• The Congress of El Salvador approved a migration law that provides expedited citizenship in exchange for “donations” to the government’s social and economic development initiatives.
• President Nayib Bukele is running for reelection in the Central American country in elections planned for February 4.
• The newly approved migration reform includes provisions allowing individuals to bypass the standard naturalization process.

El Salvador, which previously initiated a visa program associated with Bitcoin, has now approved a law that includes Bitcoin in its latest move.

El Salvador’s Latest Bitcoin Move

In a surprising move, on Thursday, December 21, the Congress of El Salvador approved a migration law that provides expedited citizenship in exchange for “donations” to the government’s social and economic development initiatives.

The single-chamber legislature approved the reform with an unexpected vote on Wednesday night, and President Nayib Bukele’s New Ideas party, which controls the Congress, supported this decision. The newly approved law is expected to come into effect in the coming days. This development adds another layer to El Salvador’s efforts to integrate cryptocurrency into its legal framework.

President Nayib Bukele is running for reelection in the Central American country in elections planned for February 4. According to reports, the considered reform focuses on encouraging “selfless foreigners interested in supporting El Salvador’s economic, social, and cultural development by donating Bitcoin,” emphasizing the “vital importance” of the president’s development initiatives.

It is noteworthy that the law does not specify a minimum requirement for Bitcoin “donation.” As of Friday, the value of Bitcoin was $43,620. Earlier this month, El Salvador had also launched a citizenship initiative called the Freedom Visa Program.

The newly approved migration reform includes provisions allowing individuals to bypass the standard naturalization process. Typically, this process requires five years of continuous residence for individuals from non-Spanish-speaking countries, or two years if the individual is married to a Salvadoran citizen.

Despite adopting Bitcoin as a national currency in 2021, El Salvador’s implementation has been gradual and had limited use. Some foreign Bitcoin supporters, especially those like Max Keiser, preferred to move to El Salvador, particularly in coastal communities.

The Country’s Own Bitcoin ETF

Max Keiser mentioned that El Salvador is exploring the possibility of launching its own Bitcoin ETF in the country. While most existing ETF applications mostly involve fiat versions, this proposed ETF would enable both Bitcoin investments and withdrawals, providing a more comprehensive path for crypto investments.