El Salvador’s President Nayib Bukele stated that the country is planning to build the world’s first “Bitcoin City”.
“Bitcoin City” will be located along the Fonseca Bay, close to a volcano. The President stated that the Salvadoran government also plans to build a power plant next to the volcano to power the city and Bitcoin mining.
President Booker stated that “Bitcoin City” will become a metropolis with residential areas, commercial centers, restaurants, airports, ports and rail services.
The city will be designed in the form of a circle (like a coin), and in the center of the city will be a square with a huge Bitcoin symbol. The city will have no income, property, capital gains or income tax.
In addition, the President further revealed that El Salvador plans to issue “Bitcoin bonds” worth $1 billion. The issuance of encrypted bonds will be developed by Blockstream.
Among them, 500 million US dollars will be used to build the necessary energy and Bitcoin mining infrastructure. The remaining $500 million will be used to buy more bitcoins. Bitcoin’s recent transaction price is about 59,000 USD, which will keep El Salvador’s treasury below 2,000 Bitcoin.
Prior to this, El Salvador was also the first country in the world to recognize Bitcoin as legal tender, which can be used for daily transactions. Even this country has installed 200 ATMs across the country, allowing people to exchange between U.S. dollars and Bitcoin, and vice versa.