EI SALVADOR was the very first country in the world for legalising bitcoin as as legal tender. In lieu to the same President Nayib Bukele of EI SALVADOR is planning to make the world’s first Bitcoin City which would be financed by crypto bonds and powered by volcano. Where Bitcoin City would involve all the areas as commercial areas, residential areas, museums, airport, services, entertainment, museums, rail, all this was mentioned by Bukele at Latin American Bitcoin and Blockchain Conference on Saturday.
As the country has used US Dollar for two decades, has turned up to be the first country in the world for legalising Bitcoin as legal tender. The Conchagua Volcano according to Bukele would power up the entire city and would power the mining as well.
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Bitcoin Mining
It’s the process through which new Bitcoin is formed using computers which tend to solve difficult mathematical problems, which is a process that tends to consume heavy amounts of energy.
Where, In EI SALVADOR, some of the amount of energy is gathered from geothermal plant being survived through Tecapa volcano. To this, the President also added that the city would be given power through Tecapa plant before his government would take initiatives for building latest geothermal plant by Conchagua. Therefore with “Zero Co2 emissions, we have fully ecological city” as per Bukele.
Funding Project
EI Salvador would issue $1 billion “ Bitcoin Bonds” in 2022 so as to fund its project as per Samson Mow, Blockstream’s Chief Strategy Officer who is also blockchain tech giver. With Bukele, Mow had mentioned that half of the volcano bonds would get invested in Bitcoin and next half would be invested in infrastructure. Mow also added that EI SALVADOR would be recognised as financial centre of the world.
Also as per Bukele, Bitcoin city would charge Value Added Tax (VAT) only and would involve in zero income tax and zero percent forever, zero property tax, zero payroll tax and zero capital gains tax as well. Time duration for building such a city was not provided as such.
So, EI SALVADOR alongwith being an energy efficient country in terms of Bitcoin Mining, this country would also flourish economically by way of involving more and more of it’s population’s tradings in Bitcoin.
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