El Salvador, the first country to use Bitcoin as legal tender, earlier this month passed other legislation to establish a legal framework for a Bitcoin-backed bond known as the Volcano Bond. Through this bond, El Salvador plans to pay off its sovereign debt, sponsor the construction of Bitcoin City, and create Bitcoin mining infrastructure.
Today, the country’s President, Nayib Bukele, confirmed via a Twitter message that El Salvador has fully paid its $800 million Eurobond repayment which was due to be repaid in January 2023. This comes after the country has been caught in a major backlash over its Bitcoin bet. At the time, even the International Monetary Fund (IMF) argued that the country’s adoption of Bitcoin as legal tender would lead to huge volatility.
El Salvador Pays Bitcoin Debt
On the other hand, when FTX crashed, the crypto market experienced a huge drop where Bitcoin fell by more than 50%. This raised concern among investors asking if El Salvador can pay its next payment which was due on January 24, 2023. However, amid the slight market pullback, these comments were closed when El Salvador repaid its 800 million debt. dollars with interest.
Nevertheless, President Nayib Bukele also slashed the mainstream media in the United States for not reporting such a significant event. He claimed that last year when the country adopted Bitcoin as legal tender, most of the media said that the country would default in January 2023. The President also mentioned some links to such type of articles and the One of those particular mentions was The York Times’ New Articles.
Currently, Bitcoin is selling at $22,519 after falling 1.57% in the last 24 hours. Immediate resistance for Bitcoin lies at $22,600 while support is positioned at $22,400.