In September 2021, the government of El Salvador approved legislation to officially make Bitcoin and the U.S. dollar the national legal token. Due to controversies and protests that arose, Bitcoin investors around the world started paying close attention to the developments in the country. Between Jan. 15 – Feb 9th of this year, 337 companies were surveyed, however, only 14 percent of the companies said they had transacted with Bitcoin and more than 90% of companies were not effected by Bitcoin. In March, El Salvador’s finance minister said the country was still looking for an opportunity to issue its first $1 billion Bitcoin bond, using the proceeds to buy cryptocurrencies and build El Salvador’s “Bitcoin City.” However, the market is not optimistic with the former central bank governor of El Salvador pointing out that the lack of solid public finances in El Salvador will discourage investors. Back in September last year, the International Monetary Fund had also urged El Salvador to reconsider its plans.
