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NEW BITCOIN LAW IN EL SALVADOR
[/vc_column_text][us_separator][vc_column_text]The Legislative Assembly of the Republic of El Salvador has approved the Bitcoin Law, by means of which Bitcoin is legalized as legal tender in El Salvador, being important to clarify that the United States Dollar will also continue to be legal tender. Within the sixteen articles of the aforementioned law, still pending publication in the Official Gazette due to its recent approval, it is established that the exchange rate between Bitcoin and the United States Dollar will be freely established by the market. From the entry into force of the Bitcoin Law, all prices in the Republic of El Salvador may be expressed in Bitcoin. Additionally, payment of all tax contributions will be accepted in Bitcoin; notwithstanding the foregoing, for accounting purposes, the use of dollars will continue to be the reference currency, nor will its exchange be subject to capital gains taxes. It is also important to mention that, upon the entry into force of the aforementioned law, all economic agents will be required to accept Bitcoin as a form of payment when offered by a consumer. Regarding the limitations and operation of the automatic and instant conversion options from Bitcoin to dollars, these will be established in the Regulations to be developed by the aforementioned law. The creation of an institutional structure for the purposes of implementing this law is also authorized. The Central Reserve Bank and the Superintendency of the Financial System are empowered to issue the corresponding regulations for the application of Bitcoin. In accordance with the provisions of Article 13 of the law under analysis, all monetary obligations denominated in dollars, existing prior to the entry into force of the law, may be paid with Bitcoin. BANDESAL will be the bank in charge of creating a trust for the automatic and instant convertibility of Bitcoin to the United States dollar for the alternatives provided by the State. The law will enter into force 90 days after its publication in the Official Gazette.
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[/vc_column_text][us_person image=”9105″ name=”Adriana Portillo” role=”Asociada” link=”url:http%3A%2F%2Flexincorp.com%2Fequipo_elsalvador%2Fadriana-portillo%2F|title:Adriana%20Portillo||” layout=”cards” img_size=”full”][/us_person][/vc_column][/vc_row]
