How Bitcoin turns El Salvador into the next Singapore according to Max Keiser
Despite fierce competition for the title of ‘Next Singapore’, Bitcoin maximalist Max Kaiser has high hopes that El Salvador can rise to the challenge.
El Salvador issued Bitcoin legal tender in September 2021, to the dismay of the international community, including organizations such as the International Monetary Fund (IMF) and the World Bank.
Despite international pressure and criticism against using public funds to fund the project, President Bukele staunchly resisted calls to end Bitcoin’s experiments, saying that the move would be long-term. He argued that it would promote economic growth.
More than a year after the legal tender bill was passed, Kaiser spoke about what was happening in the Central American country.
Kaiser attributes GDP growth to Bitcoin
Talk to Andrew Henderson Nomad Capitalist The benefits of bitcoin as a fiat currency are already being felt with a tourism boom, with GDP growth of 10.3% in the year to 2021, and visitor numbers up 83%, according to YouTube channel Kaiser. increase.
Additionally, concerted efforts to tackle the gang problem are paying off, and Kaiser said everyday people no longer face the threat of extortion.
“Even street pupusa sellers making about $5 a day, gangs will shake these people… This will stifle the economy and the will of people to get up and get out there and get them. that day…”
As the gang’s influence wanes, Max and Stacy’s Report He commented that he had witnessed an “increase in entrepreneurial activity” and an unfolding of infrastructure development.
And he called on entrepreneurs to urge them to hurry in this “booming emerging market.”
New Securities Law Underway
In terms of making El Salvador a central financial hub for Latin America, Kaiser said El Salvador is “widely open” to digital nomads and immigrants. I would add that a “very hospitable program” is offered to those wishing to migrate there.
In addition to that, the Bukele administration is focused on providing a legal framework for securities built on Bitcoin. To elaborate further, Keizer explained that liquidation of legacy trades typically takes three days. However, since BTC is the foundation, once a transaction is confirmed, it is cleared.
“With Bitcoin, a transaction is a clearance. A transaction is a clearance. .”
This method increases efficiency and eliminates the bureaucracy associated with dealing with clearinghouses.
Kaiser sees steps for El Salvador to become the next Singapore, with bitcoin at its core, geothermal BTC mining for commodities, appropriate securities laws to support the process, and a turn for others to replicate the model. Summarized as a key solution.
