How CABEI Will Support Bitcoin Law in El Salvador

Dante Mossi, President of the Central American Bank for Economic Integration (CABEI), She confirmed at a press conference that the foundation would support El Salvador’s efforts to implement its bitcoin law. The new legislation was recently approved by the Congress of this country and caused various reactions from international bodies.

However, Mossi praised the bitcoin law and believed that it would create opportunities for the Central American country and its people. Basically, as a more efficient way to send and receive money orders. he added:

The sign I want to leave you with today is that BCIE (CABEI) accompanies El Salvador in this new and innovative policy to adopt the cryptocurrency called Bitcoin for legal use.

The head of the financial institution revealed that they will work with El Salvador to form a technical team of experts. Thus, they will be able to tackle the main obstacles with the new law and adapt it to the needs of the country. Moses said:

We are very proud that your first door for assistance and support in implementing this government decision was the Central American Bank for Economic Integration. At the Bank’s technical assistance, we will select subject matter experts to advise on how to implement this innovative reform, including risk assessment and regulation.

CABEI is currently looking for experts from all over the world and has not set a budget for this project. The Foundation will wait until the team is selected to proceed with the funding phase. At the same time, they sought help from their international partners in pro-bitcoin policies.

The Challenge of Adopting the Bitcoin Standard

Mossi confirmed that they will try to study the cases where BTC has been approved. In this way, the institution and the country’s authorities will have the tools to prevent errors. However,

No other country has adopted bitcoin as widely as El Salvador. This is a challenge, because you have to face it and find the best way to protect the user.

One of the challenges of El Salvador’s new law, according to the CABEI chief, is the bad actors operating in the Bitcoin network. Therefore, he believed the regulations would need to be implemented, but he did not indicate a specific framework.

Finally, Mossi made it clear that the foundation would not fund a bitcoin fund in El Salvador. This tool will be controlled by a state bank, in accordance with the law, and will have at its disposal about 150 million dollars. However, if the state requests credit, CABEI will “review” it.

Moussa considers cryptocurrency to be a positive innovation. CABEI was supportive of El Salvador law, unlike the International Monetary Fund (IMF). The latter has expressed economic and legal concerns. The Central American country is negotiating a credit program with the International Monetary Fund.

At the time of writing, BTC is trading at $4,0341 with sideways movement on the lower time frames.

BTC is consolidating its strength at current levels on the daily chart. Source: BTCUSD TradingView

The first cryptocurrency by market capitalization I managed to control these important levels but $42,000 must be recovered to remove the bears, Short term.

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