El Salvador plans to issue its first $1 billion Bitcoin bonds between March 15 and March 20, Finance Minister Alejandro Zelaya confirmed Tuesday.

Speaking on a local <a href="https://www.youtube.com/watch?v=f25zmGm4bHg" target="_blank" rel="nofollow noopener">TV show</a>, Zelaya said that the bonds will be launched on Liquid, a bitcoin-based service created by Blockstream that comes with a 6.5% coupon and matures in 2032.

Zelaya stated that the country is planning to issue $1 billion for the first bond as announced last November, however, he now expects it to be oversubscribed by about $500 million, at least.

According to him, El Salvadorans will prefer the Bitcoin bond over a traditional one, as it allows a minimum purchase of only $100. It will be issued on Blockstream’s Liquid Network sidechain and doesn’t require going through a stockbroker.
<blockquote><em>"Bonds will comply with all financial market regulations. All [know-your-customer] requirements will be met, all due diligence will be done," </em>Zelaya added.<em>
</em></blockquote>
In November 2021, El Salvador President Nayib Bukele revealed that half of the $1 billion Bitcoin bonds would be raised to help construct needed energy and bitcoin mining infrastructure while the rest will be added to the country’s Bitcoin holdings.

While crypto enthusiasts are excited about the bonds others have raised concerns about whether they are a good investment.

For instance, The International Monetary Fund (IMF), which has reportedly been in talks with El Salvador for a $1.3 billion loan, recently noted that some of its directors 'expressed concern over the risks associated with issuing Bitcoin-backed bonds.'

El Salvador to Issue Its First Bitcoin Bond Next Month

El Salvador plans to issue its first $1 billion Bitcoin bonds between March 15 and March 20, Finance Minister Alejandro Zelaya confirmed Tuesday.

Jafrin is a cryptocurrency journalist/researcher fascinated by the world of decentralization. She is hopeful towards blockchain’s innovation and its potential to reshape the world for good. Currently, she is bringing out the best of cryptosphere via covering the latest ins and outs of the blockchain space.

El Salvador to Issue Its First Bitcoin Bond Next Month

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