The world’s first bitcoin country continues its plans with the largest cryptocurrency on the market. Following the events of recent days and weeks, President Nayib Bukele has once again decided to replenish bitcoin supplies and buy a “dip”, a drop in price that occurred during the morning hours after the announcement of the discovery of a new coronavirus variant.
The report has worried markets and caused a drop in prices in the cryptomen market, but El Salvador has seized the opportunity to make more purchases, he said. Bloomberg.
Bitcoin met with great resistance in El Salvador
It is this Central American country that was the first in the world to approve bitcoin as official currency in September this year. However, this controversial decision was also met with strong opposition from the locals, who did not agree with the introduction of bitcoin, which they made clear. big protests and burning vending machines.
As many as 70% of the population was against the introduction of cryptocurrency. And although many call Bukele a dictator, the president continues his plans with the biggest cryptocurrency. He has only recently announced a grand plan for construction of the first bitcoin city Bitcoin Citythat grows near the volcano.
The president of the country does not back down and used another “dip”
The bitcoine-based city itself is then to attract a number of new investors to the country. According to the country’s president, Bitcoin City will be a full-fledged metropolis, where we will find a number of residences, shops, restaurants, as well as an airport and a railway line. In addition, in recent months, Bukele has also gained visibility by buying “dips”, ie bitcoin, when its price drops.
At the end of September, the country owned about 700 bitcoin coins and bought bitcoin on various occasions over the following months. She did so most recently after yesterday’s decline, which dropped the price of bitcoin by tens of percent from the originally highest value reached at the beginning of the month.
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Bukele once again bragged about his “catch” on Twitter, where he said that “El Salvador has just bought a dip. He bought 100 more coins at a discount. ” The country is already holding more than 1,000 bitcoin coins. She made the penultimate big purchase only last month, when she bought another 420 bitcoins during the decline.
That’s unfortunate for the people of El Salvador. I wonder how many more dips they will buy before they cut their losses and sell?
– Peter Schiff (@PeterSchiff) November 26, 2021
Nayib Bukele’s report was also responded by notorious bitcoin opponent and gold supporter Peter Schiff, who in Twitter expressed concern about how much bitcoin in the “discount” El Salvador still has to buy to reduce its losses and sell coins. However, El Salvador has not yet indicated that it plans to sell its bitcoin reserves. Instead, he wants to use them to develop his own projects, including building Bitcoin City.
In addition, however, the country is also developing a mining infrastructure for bitcoin mining, which is still taking place to a small extent near the volcano. Trial bitcoin mining using volcanic energy is still only in the testing and installation phase of new equipment. At the same time, El Salvador uses large containers full of mining rigs and ASIC computers.