The bill to make bitcoin legal tender in El Salvador has been approved by a supermajority in the Salvadoran Congress. â€œThe purpose of this law is to regulate bitcoin as unrestricted legal tender with liberating power, unlimited in any transaction, and to any title that public or private natural or legal persons require carrying out,â€ the bill describes.
Bill to Make Bitcoin Legal Tender Approved by Congress in El Salvador
The bill to make bitcoin legal tender has passed Congress in El Salvador. President Nayib Bukele announced via Twitter early Wednesday morning: â€œThe Bitcoin Law has been approved by a supermajority in the Salvadoran Congress. 62 out of 84 votes. History.â€
The bill was sent to Congress late Tuesday night; it contains 16 articles. Article 1 states:
The bill details that the exchange rate between bitcoin and the U.S. dollar â€œwill be freely established by the marketâ€ and the â€œprices may be expressed in bitcoin.â€
Furthermore, â€œtax contributions can be paid in bitcoin,â€ the bill adds, noting: â€œExchanges in bitcoin will not be subject to capital gains tax, just like any legal tender.â€ In addition, bitcoin must be accepted as payment by anyone offering goods and services.
Article 12 notes that those who â€œdo not have access to the technologies that allow to carry out transactions in bitcoin are excluded from the obligationâ€ to accept bitcoin as payments. â€œThe State will promote the necessary training and mechanisms so that the population can access bitcoin transactions.â€
Article 14 explains:
According to the bill: â€œThis decree will take effect ninety days after its publication in the Official Gazette.â€ The full bill can be found here.
What do you think about El Salvador making bitcoin legal tender? Let us know in the comments section below.
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.