El Salvador to channel Bitcoin profits into building a veterinary clinic

El Salvador is using part of the profits from Bitcoin operations to build a veterinary clinic. President Nayib Bukele announced this on October 10.

By the way, we’re not selling any #BTC, we’re are using the USD part of the trust, since the #BTC part is now worth more than when the trust was established.

— Nayib Bukele 🇸🇻 (@nayibbukele) October 10, 2021

“We will start building a veterinary clinic using the profits from BTC. By the way, we are not selling Bitcoin, but using the dollar portion of the trust, since the cryptocurrency held on its balance is now worth more than at the time of creation,” — Bukele wrote.

At the end of August, the Finance Commission of the Legislative Assembly of the country agreed to create a fund of $150 million to provide for the exchange of Bitcoin and dollars.

According to Bukele, a “bookkeeping problem” arose in the trust. Against the backdrop of a surge in Bitcoin prices a surplus of $4 million appeared in the structure, which the state-owned company Chivo, the fund’s administrator, can allocate without affecting its volume.

“On the balance sheet of the trust, there are Bitcoins and U.S. dollars. By keeping the same number of BTC, even if the USD amount decreases, we can invest $4 million in some project,” the president explained.

The government previously began mining the first cryptocurrency using geothermal volcanic energy. Bukele noted that engineers are still testing and installing the equipment.

Earlier, Ethereum founder Vitalik Buterin described the legalization of Bitcoin in El Salvador as “reckless”.

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