The Bitcoin Law in El Salvador came into effect

On September 7, 2021, The Bitcoin Law that was passed by a legislative Assembly on June 9, 2021, came into effect, officially integrating Bitcoin into the nation's monetary system alongside the US dollar. This law mandated that all businesses must accept Bitcoin for goods and services, though the government provided alternatives for those not able to handle the cryptocurrency due to technological limitations.
 

To facilitate the transition, the Salvadoran government launched a digital wallet called “Chivo,” which translates to “cool” in local slang. To encourage its adoption, the government offered a sign-up bonus of $30 in Bitcoin to every citizen who downloaded the app. This initiative aimed to ease the population into the new system and promote the use of Bitcoin, especially for remittances, which are a significant part of El Salvador’s economy.