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One of the largest banks in the US, Bank of America recently came out in public support of El Salvador\u2019s move to make bitcoin legal tender by making a case of the development\u2019s benefits.<\/b><\/p>\n On Sunday, August 1, El Salvador President, Nayeb Bukele posted a tweet describing the types of opportunities the Bank of America sees in the country\u2019s recent move to make Bitcoin legal tender.<\/p>\n According to the tweeted document, the Bank of America opines the adoption of BTC could potentially lower the cost of remittances for the citizens of El Salvador. Notably, remittances represent almost 25% of El Salvador\u2019s GDP.<\/p>\n Bitcoin adoption could likely lead to a considerable increase in the disposable income of the people of El Salvador.<\/p>\n Next, the Bank of America talks about bitcoin\u2019s \u2018banking the unbanked\u2019 narrative which is fuelling BTC\u2019s adoption the world over, especially in countries with limited or subpar banking facilities. It is worthy of note that close to 70% of El Salvador citizens do not have access to banking services.<\/p>\n In addition, the Bank of American sees El Salvador attract foreign direct investment (FDI) flows on account of it becoming a major bitcoin mining hub.<\/p>\n As the country\u2019s President recently announced, the El Salvador government is working toward developing facilities that leverage thermal power from volcanoes to mine BTC.<\/p>\n While the report talks in great detail about the kind of potential benefits El Salvador can extract by adopting the bitcoin standard, it is worth remembering that not too long ago Bank of America went on record stating that bitcoin\u2019s only viable use-case is price speculation.<\/p>\n Similarly, earlier this year the Bank of America shared the results of its fund manager survey which revealed that 36% of those surveyed ranked \u2018long bitcoin\u2019 as the most overcrowded trade.<\/p>\n As BTCManager<\/i> reported in June, El Salvador became the first country in the world to classify bitcoin as legal tender after the Central American country\u2019s Congress approved President Bukele\u2019s proposal to that effect.<\/p>\n While the wider crypto industry rejoiced the development, there seems to be a substantial degree of disapproval towards El Salvador\u2019s pro-bitcoin move among its citizens.<\/p>\n<\/span>Bitcoin Adoption Offers Key Opportunities to El Salvador<\/strong><\/span><\/h2>\n
<\/span>Will the El Salvador Experiment Succeed?<\/strong><\/span><\/h2>\n
<\/span>Related posts:<\/span><\/h3>\n