El Salvador to install network of 200 ATMs to work with Bitcoin

In June of this year, El Salvador became the first country to accept the world’s largest cryptocurrency, Bitcoin, as legal tender. On this road he announced that started installing Bitcoin ATMs across the country, which will allow its citizens to convert this cryptocurrency into US dollars and withdraw it for cash, as part of the government’s plan to make the token legal.

The government will start the operation with 200 ATMs to initially accompany its digital wallet called Chivo, a term which in local jargon means “super”. “With this app, they will be able to accept payments in #bitcoin or DOLLARS, open a small business and run it from there, receive money from family or friends, and send and receive remittances without paying. a single penny commission to anyone. If they want, if not, then they don’t download anything and that’s it, ”said the Salvadoran president, Check it out and Twitter.

He added that in addition to the 200 ATMs, there will also be 50 financial branches, “Puntos Chivo”, to withdraw or deposit money. Yet the ultimate goal is to install 1,500 ATMs across the country. He said Salvadorans abroad pay $ 400 million a year “in remittance commissions” they send, an essential contribution to the Salvadoran economy, and that “this economy alone will be of huge benefit. for our people “.

“Adopting Bitcoin will save Salvadorans $ 400 million per year in the costs of receiving remittances from abroad.” said Bukele. Salvadoran Bitcoin law will come into effect on September 7 and from that day Salvadorians will be able to download the Chivo digital wallet, enter their ID number and receive $ 30 in Bitcoins, Salvadoran Finance Minister Alejandro said on Monday. . on local television. The government has created a $ 150 million fund to support Bitcoin to dollar conversions.

Bukele announced in June the country’s intention to become the first in the world to accept bitcoin as legal tender with the US dollar, which has garnered praise and negative reactions from the world of investors and Salvadorans themselves. same. Many analysts have questioned this decision due to the intense volatility of bitcoin. The cryptocurrency has lost almost 25% of its value since reaching an all-time high of nearly $ 65,000 in April. Today, it is trading around $ 48,000 per unit, after falling 55% from its all-time high. It is because of this price movement that Bitcoin is viewed by many as a risk rather than an advantage.

In this regard, the president stressed that no one will be forced to use Bitcoin, which he also reiterated in his Twitter thread. Unfortunately, a survey conducted in June by the Centro de Estudios Ciudadanos (CEC) at Francisco Gavidia University (UFG) suggested that Most citizens do not understand cryptocurrencies and are skeptical of Bukele’s decision to convert Bitcoin into legal tender.

According to the survey, the adoption of Bitcoin as legal tender in El Salvador is considered a bad or a bad decision by 77.5% of the population. The survey indicates that 24% of those consulted consider the decision to be not very correct and 53.5% as not correct, while 12.9% say it is correct and 6.5% very correct. Faced with the risks due to the volatility of Bitcoin, 95% of Salvadorans value the US dollar “as the financial stability of their family economy” and only 1% mentioned cryptocurrency.

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