President Bukele Guarantees Zero Commissions, Shows Confidence In Bitcoin Law | Crypto News

President Bukele Guarantees Zero Commissions, Shows Confidence In Bitcoin Law

To respond to the opposition’s claims and announce several key aspects of his Bitcoin Law strategy, President Bukele used a tweetstorm. On September 7th, El Salvador’s Bitcoin experiment goes into full effect. The timing is right for a presidential update, and we got it and then some. President Bukele went into familiar territory, reaffirming several facts, and also showed new cards and shared new information.

Related Reading | News From El Salvador, Early July: Bukele, El Zonte, And The ATM Factory

What exactly did President Bukele write to dispel the FUD? For example, 200 ATMs and 50 cashpoints will open to the public on September 7th. All of those and the Chivo Wallet will charge zero fees for all transactions. Keep reading for details and more revelations.

What Did President Bukele Say To His Opposition?

Besides the FUD against the Bitcoin Law coming from the foreign press (example 1example 2,) there were also internal attacks. To the opposition pushing fear of Bitcoin, Bukele said that they can only do it until September 7. “Once in effect, people will see the benefits” of the Law and the opposition will be perceived “as liars, and they will double lose.”

Then, he clarified once again that:

  • It’s optional to download the Chivo wallet. If they do, they’ll get $30 in BTC as a bonus. If they don’t, there’s no problem.
  • With the app, they’ll be able to receive or get paid in BTC and in Dollars. Without any fees.
  • Salvadoreans abroad will be able to send to their families remittances in BTC or in Dollars, again without any fee.
  • People can immediately exchange all of the BTC they get into Dollars. They can then leave it on the wallet or extract cash in the already mentioned 200 ATMs and 50 cashpoints.

Here are pictures of the cashpoint kiosks. An interesting detail is that in those locations people will assist and educate the population on how to use the App, the ATMs, and the system in general.

Here are pictures of the Chivo ATMs.

President Bukele guarantees that these will charge zero commissions and dares the opposition to keep saying they’ll charge a fee. They can only get away with it until September 7th.

BTCUSD price chart for 08/24/2021 - TradingView

BTC price chart for 08/24/2021 on Bitfinex | Source: BTC/USD on TradingView.com

What Happens If Someone Doesn’t Want To Use Bitcoin?

President Bukele answers this question head-on. “Well, nothing, do not download the application and continue your normal life. Nobody is going to take your dollars as the opposition says.” It’s only vendors that are mandated to receive Bitcoin, and they can immediately exchange them into Dollars. The mandate is necessary for the 70% of Salvadorans that don’t have a bank account to have guaranteed access to the market with the BTC they’ll earn. 

Anything else, President Bukele? Well…

  • Businesses and people in the tourism field will be able to receive payment and tips from foreigners through the network.
  • People will not have to carry cash.
  • People in the informal economy that use the government’s Chivo Wallet will have a way to prove their income. With that, they’ll have access to low-interest credits.
  • Salvadoreans pay $400M a year in remittances commissions. Savings in that area will be crucial for the country.

Related Reading | President Bukele Clears Up Misconceptions About The Government’s Chivo Wallet

The Chivo wallet, the ATMs, and the cash points will be available on September 7th. Let’s stop speculating and see how the El Salvador experiment plays out.

Featured Image: From President Bukele's Twitter | Charts by TradingView

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