El Salvador’s Authorities Postpone the Release of Bitcoin Bonds Again

El Salvador’s Finance Minister Alejandro Seleya said that at present there have not been favorable conditions for the placement of Bitcoin Bonds of $1 billion.

According to The Block, economists are afraid of the state of default in January 2023, when they will have to pay off bonds in Fiat in the amount of $800 million.

According to the economist of the Central American Institute for Financial Research (Icefi) Ricardo Castaneda, El Salvador’s need for liquidity until 2024 is $3 billion.

Selya also said that the country’s authorities are negotiating with the IMF. In addition, the authorities sold part of the purchased bitcoins to finance a hospital for pets. Thanks to the growth of the course of the first cryptocurrency, the authorities were able to receive the necessary $4 million. The minister noted that the agency does not sell accumulated coins.

As you know, El Salvador planned to release the first Bitcoin Bonds for $1 billion by March 15–20. And in case of success, the authorities were even ready to conduct an additional issue of $500 million.

But on March 22, the Ministry of Finance of El Salvador postponed the release due to the deterioration of the conjuncture and the need to finalize the legislation.

Post a Comment