{"id":1047914,"date":"2021-11-23T10:58:57","date_gmt":"2021-11-23T15:58:57","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1047914"},"modified":"2021-11-23T10:59:00","modified_gmt":"2021-11-23T15:59:00","slug":"el-salvador-to-build-first-bitcoin-city-at-base-of-volcano","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/el-salvador-to-build-first-bitcoin-city-at-base-of-volcano\/","title":{"rendered":"El Salvador to Build First &#039;Bitcoin City&#039; at Base of Volcano"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fel-salvador-to-build-first-bitcoin-city-at-base-of-volcano%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1047914&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p class=\"subheading\">El Salvador\u2019s government plans to <a href=\"https:\/\/www.laprensagrafica.com\/elsalvador\/El-presidente-Nayib-Bukele-anuncia-la-creacion-de-Bitcoin-City-20211120-0056.html\">build<\/a> a \u201cBitcoin City\u201d at the base of Conchagua Volcano in the country\u2019s southeast in 2022, El Salvador\u2019s <em>La Prensa Gr\u00e1fica<\/em> newspaper reported Saturday, noting the&nbsp;city will be designed to harness the volcano\u2019s geothermal energy to mine cryptocurrency.<\/p>\n<p>El Salvador President Nayib Bukele <a href=\"https:\/\/www.facebook.com\/lpg.laprensagrafica\/videos\/435971997922773\">announced<\/a> plans to build the innovative metropolis during a speech in Mizata on November 20. Nayib spoke to a crowd gathered in the coastal resort town to mark the end of a weeklong \u201cBitcoin Festival\u201d in El Salvador.<\/p>\n<figure id=\"D-ROS-B1\" class=\"a8d\"><\/figure>\n<figure id=\"M-ROS-B1\" class=\"a8d\"><\/figure>\n<figure id=\"gmxrevmore\" class=\"H\"><\/figure>\n<p>\u201cIt would be a legal municipality, with [a] mayor and everything,\u201d President Bukele said of the planned \u201cBitcoin City.\u201d<\/p>\n<p>\u201cIt\u2019s gonna include everything: residential areas, commercial areas, services, museums, entertainment, bars, restaurants, airport, port, rail,\u201d he said. \u201cEverything devoted to Bitcoin.\u201d<\/p>\n<p>Bukele said his administration was inspired to build the city based on a pre-existing model of municipalities energized by geothermal power plants in El Salvador, specifically in the district of Usulat\u00e1n. Two geothermal plants currently operate in Usulat\u00e1n, which is located a short distance west of Conchagua Volcano. El Salvador\u2019s government plans to power \u201cBitcoin City\u201d through nearby&nbsp;Usulat\u00e1n\u2019s geothermal plants before eventually building a new geothermal plant for the municipality that will use energy harnessed from&nbsp;Conchagua Volcano. The stratovolcano&nbsp;<a href=\"http:\/\/www.jgeosci.org\/content\/jgeosci.069_2010_2_rapprich.pdf\">harbors<\/a>&nbsp;active areas on both of its two peaks, though it has never erupted according to geologists. The volcano\u2019s energy will also be used to mine Bitcoin, Bukele said Saturday.<\/p>\n<figure id=\"M-ROS-B2\" class=\"a8d\"><\/figure>\n<p>\u201cMining Bitcoin and other cryptocurrencies is done using sophisticated computers to solve complex mathematical problems. It is costly, difficult and takes up large amounts of energy,\u201d according to the <a href=\"https:\/\/www.bbc.com\/news\/world-latin-america-59368483\">BBC<\/a>.<\/p>\n<p>El Salvador\u2019s government will <a href=\"https:\/\/www.ft.com\/content\/67515f23-ccdc-4dbc-a184-70848e183ac3\">finance<\/a> its new city \u201cpartly by an issue of $1 billion in sovereign bonds backed by the cryptocurrency [Bitcoin],\u201d the <em>Financial Times<\/em> noted on November 21.<\/p>\n<div id=\"attachment_18867834\" class=\"wp-caption alignnone\" readability=\"37\"><a href=\"https:\/\/media.breitbart.com\/media\/2021\/11\/GettyImages-1234998877.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-large wp-image-18867834\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2021\/11\/GettyImages-1234998877-1024x681-1.jpg\" alt width=\"990\" height=\"658\" \/><\/a><\/p>\n<p class=\"wp-caption-text\"><em>Army soldiers and members of the Honduran Naval Base head to Conejo Island (in the background the Conchagua volcano, on the Salvadoran side), to raise the national flag, during the celebration of the National Flag Day. (ORLANDO SIERRA\/AFP via Getty Images)<\/em><\/p>\n<\/div>\n<p>\u201cThe bonds will be US dollar-denominated 10-year bonds, with half the funds converted to bitcoin and the other half used for infrastructure and bitcoin mining,\u201d Samson Mow, the chief strategy officer of the blockchain technology company Blockstream, said on stage with Bukele in Mizata on November 20.<\/p>\n<p>\u201cThe bonds will be issued in 2022 and the construction of the city \u2026 will begin 60 days later,\u201d according to El Salvador\u2019s federal government.<\/p>\n<figure id=\"M-ROS-B3\" class=\"a8d adSo\"><\/figure>\n<p>\u201cBitcoin City\u201d will have \u201cno property, income or capital gains taxes,\u201d according to Bukele.<\/p>\n<p>\u201cIts infrastructure and other costs will be funded by a sales tax and money raised by the bond issues,\u201d the <em>Financial Times<\/em> quoted the president as saying on November 20.<\/p>\n<p>El Salvador became the first country in the world to <a href=\"https:\/\/www.breitbart.com\/tech\/2021\/06\/09\/el-salvador-first-country-to-accept-bitcoin-at-legal-tender\/\">adopt<\/a> Bitcoin as a legal tender on September 7. Bukele\u2019s administration said it <a href=\"https:\/\/www.breitbart.com\/tech\/2021\/06\/09\/el-salvador-first-country-to-accept-bitcoin-at-legal-tender\/\">spearheaded<\/a> the action primarily to retain an estimated $400 million in financial fees lost in remittance transactions each year when El Salvadorans send money home from abroad through traditional wire transfers.<\/p>\n<p>Remittances account for roughly 23 percent of El Salvador\u2019s GDP. The country has used the U.S. dollar as its official currency since 2001 and estimates that over 2.5 million Salvadorans live abroad, mainly in the United States. Salvadorans living and working in the U.S. sent almost $6 billion home to El Salvador last year.<\/p>\n<p>The government of El Salvador established a new digital wallet app, called \u201cChivo,\u201d in September after legalizing Bitcoin as a legal tender. San Salvador issued $30 in Bitcoin to every citizen through the digital wallet as an incentive to download the new app.<\/p>\n<p>\u201cBetween September and October, Salvadoreans abroad sent about $32 million in remittances back home using the Chivo Wallet, the country\u2019s Central Reserve Bank chief said recently. That represents about 2.5 percent of all the remittances sent in those months,\u201d the <em>Financial Times<\/em> observed on November 21.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>El Salvador\u2019s government plans to build a \u201cBitcoin City\u201d at the base of Conchagua Volcano in the country\u2019s southeast in 2022, El Salvador\u2019s La Prensa Gr\u00e1fica newspaper reported Saturday, noting &#8230;<\/p>\n","protected":false},"author":37,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1047914","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1047914","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/37"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1047914"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1047914\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1047914"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1047914"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1047914"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}