El Salvador, the first country in the world to declare Bitcoin (BTC) as official currency, is expected to launch the Bitcoin bonds, known as the volcano bonds project, which it planned to launch in March 2022 but continuously postponed, at the beginning of 2024. The country has received legal approval to launch Bitcoin bonds at the beginning of 2024.
Anticipated Bitcoin Bonds to be Launched in the First Quarter of 2024
According to a recent announcement from the National Bitcoin Office (ONBTC), the volcano bonds have received approval from El Salvador’s Digital Assets Commission and are expected to be launched in the first quarter of 2024. The country’s Bitcoin-friendly leader, Nayib Bukele, also confirmed the development in a post on his personal X (formerly known as Twitter) account. In his post titled “Wen volcano bond”, he stated that the bonds will be issued in the first quarter of 2024.
El Salvador had initially adopted the landmark legislation providing the legal framework for Bitcoin-backed bonds in January of this year. With the volcano bonds, which offer a 6.5% annual return, the repayment of the state debt and the financing of the planned Bitcoin City are expected.
ONBTC stated that the Bitcoin bonds will be issued on the Bitfinex Securities Platform, a trading site for blockchain-based stocks and bonds registered in El Salvador. The bonds, which mark the start of Bitcoin-based capital markets in the country, will last for 10 years and provide owners with an annual return of 6.5%.
The approval came about 21 months after former finance minister Alejandro Zelaya announced that the volcano bonds would be launched in mid-March 2022.
El Salvador’s 241 Megawatt Bitcoin Mining Project
Recently, a massive Bitcoin mining project was announced in El Salvador, the first country in the world to make Bitcoin an official currency. El Salvador, which recently partnered with Luxor Technology, will utilize the country’s volcanic resources with the planned Bitcoin mining facility.
The partnership will construct a Bitcoin mining project worth $1 billion and with a capacity of 241 megawatts. The country’s mining operations will be powered by the Conchagua volcano.
