The legislation states that “all economic agents shall accept bitcoin as a form of payment when it is offered by the purchaser of a good or service.” It additionally says that tax funds can now be made in bitcoin.
The transfer delivers one other win for cryptocurrency bulls as digital cash turn into extra broadly accepted around the globe.
El Salvador is the smallest nation in Central America, and whereas it was fast to include the coronavirus pandemic, its financial system was hit laborious final 12 months, in line with the World Bank.
Cryptocurrencies do not require a checking account; they’re held in digital wallets. That might assist folks in poorer communities — such as many in El Salvador but in addition in minority communities within the United States — acquire elevated entry to their funds.
— Charles Riley, Mitchell McCluskey and David Goldman contributed to this report.