Conditions are not yet favourable for El Salvador to issue $1 billion in Bitcoin bonds. This was stated by the country’s finance minister, Alejandro Zelaya, The Block reports.<\/p>\n
El Salvador was planning to issue<\/a> the first Bitcoin bonds worth $1 billion by 15\u201320 March. If successful, authorities were prepared to issue a further $500 million.<\/p>\n On 22 March the Salvadoran Ministry of Finance postponed the issue owing to a deteriorating market environment and the need to refine the legislation.<\/p>\n Economists fear that the country could declare a default in January 2023, when it must redeem fiat-denominated bonds worth $800 million.<\/p>\n Economist at the Central American Institute of Financial Studies (ICEFI), Ricardo Castaneda, estimated El Salvador’s liquidity needs through 2024 at $3 billion.<\/p>\n Zelaya, in his address to the nation, said that negotiations with the IMF<\/span> are ongoing.<\/p>\n The finance minister also said that authorities sold a portion of the bitcoins it had acquired to fund a veterinary hospital. The $4 million required for the project was obtained “as a result of the rise in the price of the first cryptocurrency.” The official stressed that the department is not selling the accumulated coins.<\/p>\n On 9 May, El Salvador bought 500 BTC at an average price of about $30,744, bringing its reserves to 2,301 BTC.<\/p>\n Earlier, the IMF expressed concerns about the risks associated with El Salvador’s Bitcoin bonds. The organisation has repeatedly urged the government to abandon the first cryptocurrency as a means of payment.<\/p>\n Subscribe to ForkLog news on Telegram: ForkLog Feed<\/a> \u2014 all the news feed, ForkLog<\/a> \u2014 the most important news, infographics and opinions <\/p>\n","protected":false},"excerpt":{"rendered":" Conditions are not yet favourable for El Salvador to issue $1 billion in Bitcoin bonds. This was stated by the country’s finance minister, Alejandro Zelaya, The Block reports.<\/p>\n","protected":false},"author":1,"featured_media":62379,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[18,1431,1278],"class_list":["post-62378","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bitcoin","tag-bonds","tag-el-salvador"],"aioseo_notices":[],"amp_enabled":true,"views":"25","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/62378","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=62378"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/62378\/revisions"}],"predecessor-version":[{"id":62380,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/62378\/revisions\/62380"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/62379"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=62378"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=62378"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=62378"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}