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El Salvador’s State-issued Bitcoin App to Have B2B, B2C Versions

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Bitcoin (BTC) is set to be adopted as legal tender in El Salvador in a matter of several weeks, and the government is forging ahead with building the infrastructure it feels needs to be in place beforehand – including a much-vaunted app that will function as a payments platform and a BTC wallet.

Per ElSalvador.com, the website of the El Diario de Hoy newspaper, Alejandro Zelaya, the Salvadoran Minister of Finance, has announced that the Chivo crypto app will, in fact, have two versions: one for businesses, and the other for private citizens.

The government has already promised to promote the app by offering early users USD 30 worth of BTC, although Zelaya has insisted that the funds are not to be converted into fiat. The government also said it plans to open hundreds of Chivo brick-and-mortar outlets across the nation, providing crypto-to-fiat conversions and other adoption-related services.

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But Zelaya confirmed that both versions of the new app would be ready for download by September 7 and reiterated that the Chivo app ecosystem would be “totally free” to use and would also be “commission-free.”

He explained that two versions of the app were needed as “the cash flow that most people have as a private citizen is not the same as that of a company.”

The government is thought to be working with the Lightning Network-focused American firm Strike on the app.

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However, as reported, not all in El Salvador, a country with a population of 6.5m people, are as keen as the government to embrace BTC. A petition to reverse the new BTC law is gaining support. It was launched two days ago on Change.org and has almost 5,000 signatories at the time of writing. ElSalvador.com reported that two former presidents of the nation’s Central Reserve Bank, Nicolás Martínez and Oscar Cabrera have signed the petition, which calls for the law to be “repealed.”

A number of “lawyers and economists” have also pledged their support, the media outlet added, including Ricardo Castaneda, a senior economist at the Central American Institute for Fiscal Studies.

Meanwhile, Steve Hanke, an American applied economist at the Johns Hopkins University, BTC skeptic, and an outspoken critic of the El Salvador Bitcoin law, quoted data from a survey by the Salvadorian Chamber of Commerce, claiming that “three out of every four citizens will exclusively use dollars, even if the government tries to force bitcoin down its throat.”

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The survey saw both business professionals and “non-entrepreneurs” quizzed on their BTC intentions, with only 1% of each group saying they would use “only bitcoin” after the law promulgated, with 21% of businesspeople stating they would use both USD and BTC and a quarter of non-business professionals saying they would mix up their fiat and crypto usage.

Currently, bitcoin usership is the nation is largely centered on a small beach community in the village of El Zonte, supported by the Bitcoin Beach project.

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Bitcoin Drops as China Declares Crypto-Businesses Illegal

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  • China declared that cryptocurrency-related businesses are illegal
  • Bitcoin, Ether, and stablecoin Tether do not qualify as legal tender in China
  • BTC drops in price as the announcement went out

Once again, China reiterated its antagonistic stance on Bitcoin and the cryptocurrency industry as a whole.

In an announcement, the People’s Bank of China (PBOC) mentioned that BTC, ETH, and USDT are not legal tenders in China. They added that these cannot be used in the currency market.

Additionally, the central bank deemed all crypto-related businesses as illegal. This includes overseas exchanges serving residents within China and derivative transactions.

Following the news, Bitcoin’s price fell by almost $2,000 as the news circulated. This has been a common pattern whenever China FUD comes out.

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Earlier, China also reiterated its stance on crypto trading and mining while testing the Digital Yuan. According to the PBOC, it will continue releasing regulatory pressure over the crypto trading industry.

Despite the negative news, many analysts remain bullish on Bitcoin and the cryptocurrency industry as a whole. According to analyst Lark Davis, this is not new and will happen again in the future.

In a tweet, Davis mentioned that “The year is 2025, #bitcoin has just corrected from 400k to 250k on China banning BTC fears.”

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Can Bitcoin Surpass $6,000,000? Ethereum and Polkadot Creator Details Possible Future of Crypto

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Early Bitcoin developer and co-founder of Ethereum and Polkadot, Gavin Andresen, is outlining a future where BTC rises to a staggering $6,000,000 per coin.

Gavin Andresen, who took over as Bitcoin’s lead maintainer from founder Satoshi Nakamoto in 2011, just published a new blog post detailing how BTC’s theoretical evolution could look.

Andresen describes a “possible” scenario where Bitcoin hits a price tag of $6,000,000 by 2061, transaction fees 326x higher than they are now, and the blockchain is used chiefly by whales.

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“Imagine: it is the year 2061. The BTC price is six million US dollars – equal to about a million 2021 dollars because of inflation.

Miners are being rewarded 0.006103515625 BTC per block, plus transaction fees of about 5 BTC for 4,000 or so transactions ($7,500 per transaction).

But most BTC transactions don’t happen on the BTC network. Most BTC is locked up in multi-signature outputs secured using multiparty computation and mirrored on another chain as ‘wrapped’ tokens.”

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In his scifi scenario, Andresen says those who do remain on Bitcoin’s network will be incentivized to keep it alive.

“The transactions that do occur on the main BTC network are high-value, mostly between super-whale-size holders…

These whales maintain the BTC network forever. They are the miners and the transaction creators; they don’t care how high transaction fees go, because they receive as many fees as they pay.”

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However, Andresen says that by 2100, even those users would likely leave the blockchain.

“In the year 2100 the whales notice that the mining reward is basically zero… Eventually, there are zero new BTC being produced on the BTC network, and zero BTC circulating on the BTC network. There is nothing left to secure, and the chain stops.”

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Top Analyst Maps Bitcoin and Cardano Price Trajectories, Warns Best Entry Point for ADA May Be Gone

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Top Analyst Maps Bitcoin and Cardano Price Trajectories, Warns Best Entry Point for ADA May Be Gone

Crypto trader Michaël van de Poppe is looking at what’s ahead for Bitcoin (BTC) and the smart contract platform Cardano (ADA).

The analyst tells his 420,000 Twitter followers that the best entry point for Cardano may be gone after the asset bounced off a key support level at $1.86.

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“If you want to get into Cardano, this was the region where you would want to get into it, and the higher low that might be created.

So based on the daily timeframe, the best entry might be gone, but you’re still getting a better entry than the ones who have been buying around $2.80.”

Van de Poppe is now looking to see if ADA can turn resistance at the $2.37 level into support.

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If the markets correct further, he is keeping an eye on the $2.15 level as a potential buy zone.

“When you’re looking at the four-hour time frame, I think you’re getting the exact same view as what you have right now on Bitcoin and [Ethereum], actually. So you’re going to look for an entry point which is around the fact of $2.15, so anything in this region might be a good entry point if we get a corrective move.”

Looking at the Bitcoin pair, van de Poppe thinks that ADA will most likely consolidate briefly after retesting support at its previous all-time high.

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“We can see that we’ve had a beautiful retest of the previous high here too, and therefore some consolidation is most likely going to take place before we’re going to have new impulse waves.

So both the USDT and BTC pair are looking for continuation, and I think that’s just great, and I think that’s just what we want to see with the markets right now.”

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