Introduced in 2009, Bitcoin - the first-ever cryptocurrency has frequently caused a stir in the investment industry due to its value and popularity. It is believed to be one of the most reliable and valuable cryptocurrencies in the market. Due to its controversial and mixed reputation, financial media across the globe has always fervently reported every new exhilarating high and stomach-churning decline in the value of bitcoin.

The dramatic volatility in value has a major impact in the approach and utility of bitcoin and other cryptocurrencies by economic regulators across the globe. Ownership and use of bitcoin and other digital currencies is allowed in most countries, tolerated in many more, while labeled illegal by few regulators.

What Does El Salvador’s Bitcoin Adoption Mean?
Let’s take into account the prevailing approach for the use of Bitcoin in El Salvador. In a historic move, President Nayib Bukele recently announced that it became the first nation to officially adopt Bitcoin as the legal tender.

Legal tender refers to money i.e., coins and banknotes that must be recognized and accepted as payment for a debt if offered. As per El Salvador’s legislation, every economic agent must accept Bitcoin as payment when provided to him by whoever acquires an item or service. The aim behind the decision of the government is to boost the financial inclusion, investment, tourism, innova tion, and economic development of the country. A day before announcing this decision, El Salvador bought 400 bitcoin worth about $20.9 million.