Bitcoin-Related Legislations Aimed At 'Full Re-Engineering Of The Economy,' Says El Salvador President

El Salvador President and Bitcoin BTC/USD bull Nayib Bukele said Tuesday that the government was sending a slew of bills to the country’s Congress to “cover and guarantee” Bitcoin-denominated Volcano Bonds.

What Happened: The Salvadoran leader said on Twitter that the legislative action is aimed at a “full re-engineering of the economy and of the way a nation state does business.”

It’s to cover and guarantee the #Bitcoin #VolcanoBonds, but also a full re-engineering of the economy and of the way a nation state does business.

Everybody searching for freedom: this is the place to come https://t.co/zupEKC3usB

— Nayib Bukele  (@nayibbukele) January 5, 2022

Also on Tuesday, El Salvador Finance Minister Alejandro Zelaya said that the about twenty bills covering financial markets and investment in securities were to “provide a legal structure and legal certainty to everyone who buys the bitcoin bond,” reported Reuters.

See Also: How To Buy Bitcoin (BTC)

Why It Matters: El Salvador announced the Bitcoin bonds in November for a total issuance of $1 billion and a duration of 10 years. 

The bonds carry a coupon of 6.5%. Notably, the coupon is half the weighted coupon of El Salvador’s long-duration sovereign debt, according to a statement.

The Central American republic plans to build a “Bitcoin City” along the Gulf of Fonseca near a volcano. Half of the raised proceeds, or $500 million from the bonds, will be used to fund the construction of this city.

In June, El Salvador became the world’s first country to adopt Bitcoin as legal tender.

Price Action: At press time, BTC traded 0.1% higher at $46,334.01 over 24 hours.

Read Next: El Salvador President Nayib Bukele Makes 6 Bitcoin Predictions For 2022: $100,000 Price Target, Sovereign Adoptions And More