The National Bitcoin Office (ONBTC) announced on Monday through “X” that the Bitcoin-backed state bond, known as the “Volcano Bond,” proposed by President Nayib Bukele, has secured regulatory approval from the National Digital Assets Commission (CNAD) and is set to be issued during the first quarter of 2024.
“The Volcano Bond has just received regulatory approval from the Digital Assets Commission (CNAD). We anticipate that the bond will be issued during the first quarter of 2024. This marks the beginning of new capital markets in Bitcoin in El Salvador,” stated the institution.
In a digital media consultation, Stacy Herbert, Director of ONBTC, explained to “Diario El Salvador” that with the commission’s approval, the issuance date now depends on the Salvadoran president’s decision.
She emphasized that, despite some media questioning the delay in the launch, it was impossible without regulations providing a secure and clear framework for the operation.
“While everyone complained over the last 18 months, the fact is that we didn’t have the regulatory framework to even issue the bonds. But now we have approval. It is now up to President Bukele to decide when we will issue the bonds. However, we expect it to happen sometime in the first quarter,” Herbert noted.
The bond’s launch is set to take place through the Bitfinex Securities platform, the first company licensed to provide digital asset services in El Salvador under the Digital Assets Issuance Law. This move signifies a significant step towards integrating Bitcoin into the country’s financial landscape, providing a glimpse into El Salvador’s evolving role in the global digital economy.