El Salvador is already the first country in the world to adopt Bitcoin as legal tender

With 62 of 84 possible votes, lawmakers gave the go-ahead after midnight to create the law and pass Bitcoin, despite concerns about the potential impact on El Salvador’s program with the International Monetary Fund.

Bukele touted the use of cryptocurrency for its potential to help Salvadorans living abroad send funds home, while ensuring that the US dollar will also continue to be legal tender.

The president, who passed the initiative on to lawmakers, said the law will help create short-term jobs and promote financial inclusion for thousands of people who are outside the formal economy.

The law passed at midnight establishes that all prices can be expressed in Bitcoin and that all tax contributions can be paid in cryptocurrency, but that for accounting purposes the dollar will be kept as the reference currency.

“The #LeyBitcoin is ambitious, but simple, it is also well structured so that it is risk free (…) The government will guarantee convertibility at the exact dollar value at the time of each transaction,” said Bukele Tuesday evening. in his twitter account.

Bitcoin was trading at $ 35,216.77, according to data from Refinitiv Eikon.

Its use as legal tender in El Salvador will take effect in 90 days, with the bitcoin-dollar exchange rate set by the market.