Salvadoran Government Introduces Bitcoin Banking Law Reform

The Salvadoran government has proposed a reform to the current banking law, aiming to create a new type of bank that can provide bitcoin and crypto services. This initiative was presented to the Technology, Tourism, and Investment Commission of the National Assembly on June 13. If approved, these new banks would offer various services, including economic risk management, investment management, and hedging, supporting legal tender in El Salvador, such as the U.S. dollar and bitcoin.

Javier Milei on Currency Competition in Argentina

President Javier Milei recently reiterated Argentina’s currency plans. He emphasized that anyone wishing to use bitcoin will have the opportunity to do so, as there will be currency competition in the country. In addition to bitcoin, other units like WTI and BTU can also be used for business purposes. Milei believes that accounting challenges related to this system can be resolved using the functional currency model. Previously, he had proposed penalizing currency issuance with jail time and dollarizing the Argentine economy.

Bitcoin Developers and El Salvador

Adam Ficsor, the lead developer of Wasabi Wallet, acknowledges that Bitcoin faces challenges when used as a medium of exchange. In an interview, he highlighted that Bitcoin isn’t fully ready for El Salvador in terms of payment user experience.

Sentiment: Neutral