According to a recent survey conducted by the Salvadoran Chamber of Commerce, Salvadorian businesses have been slow to adopt BTC ever since the country famously recognized the digital asset as legal tender in 2021.
Out of 337 companies surveyed only 14% said they had transacted in BTC since the Law came into effect. Over 90% of the companies indicated that Bitcoin adoption in the country has had little impact on their sales.
While the low adoption rate may appear underwhelming at the surface, El Salvador has been on the United States dollar standard since 2001. Unlike the currencies of other emerging economies, El Salvador’s primary medium of exchange is not prone to exchange-rate volatility
The Salvadoran President has put Bitcoin near the centre of his economic growth strategy even as institutions like the International Monetary Fund and Moody‘s Investors Service have warned against embracing the flagship cryptocurrency.
Regardless of the warnings, El Salvador is moving forward with its crypto strategy by issuing $1 billion worth of Bitcoin bonds. The proceeds of the sale will go toward funding Bitcoin City, a fully functioning metropolis that will harness geothermal energy to mine the digital asset.
