The President of El Salvador, Nayib Bukele has just announced the construction of 20 schools which will be financed thanks to the capital gains realized on his purchases of bitcoins. Two months after the officialization of BTC as legal tender, the fallout is already palpable for this small country in Central America.
During the month of October, El Salvador had already announced the construction of a veterinary hospital also sponsored by the profits made on its purchased bitcoins. The decision to make the first cryptocurrency an official currency does not only meet the objective of facilitating transfers or promoting financial inclusion, it meets the financing need of a country lacking funds.
This is why El Salvador continues to buy bitcoins. Recently he bought 420 new BTC. Now the country has over 1,120 bitcoins in its vaults purchased at an average cost of $ 51,300. Current price ($ 63,189) of the asset, El Salvador has a capital gain of nearly $ 11,889 on each token. Hence a total profit estimated at $ 13,315,680.
Bitcoin: Engine of El Salvador’s educational campaign
The construction of schools is part of an educational program in El Salvador called ” Mi Escuela “. The program started in January and aims to build 400 schools across the country within a three-year period. The Salvadoran state wishes to finance these schools directly from its funds. Nayib Bukele himself has made it clear that the infrastructure will be built only with revenue from the government’s bitcoin fund and that no taxpayer money will be used to fund the projects.
He set up a trust called “FIDEBITCOIN” reserved for investment in Bitcoin. This trust currently has 150 million dollars and is managed by the Development Bank of El Salvador. It is through this fund that the government of the Central American nation used it to build the veterinary hospital, Chivo.
“When the project was launched, the FIDEBITCOIN fund did not have the same amount of surplus as it does today. This is what made us decide to move forward with approving the construction of the first 20 Bitcoin Schools. Nayib Bukele told Salvadoran media.
Bukele laughs at opposition
The legalization of bitcoin is not unanimous in the Salvadoran political class. Parliamentarians have openly expressed their disagreement with this choice. The people did not welcome the officialization of bitcoin too well despite the government giving $ 30 to each of them holding a chivo wallet. The IMF had also stepped up to criticize the Salvadoran state, judging that the decision will jeopardize the country’s financial system.
Faced with this wave of disagreements, Nayib Bukele has always maintained his position and believes his choice to legalize bitcoin will have major repercussions for his fellow citizens. He said at the inauguration of the veterinary hospital, Chivo:
The funny thing is that the opposition was against the bitcoin law and bitcoin buying thank goodness we didn’t pay attention to them and the profits they didn’t want to exist will benefit many animals… Now , we see additional benefits, the schools that we have announced, and God willing, more works will come that come from the benefits of a Trust that was created and a law that was created because we have ignored the opposition.
Deadline for withdrawing from a Chinese cryptocurrency broker that will close in Brazil ends today
Today, November 30th, is the last day that Coinbene’s clients can withdraw their funds from the platform that will permanently cease operating in Brazil as of December 1st.
The Chinese brokerage firm decided to close operations in the country in October this year, after attracting Brazilian clients to its trading platform for about four years.
The decision to close its doors in Brazil was justified by a series of operational restrictions that the company began to suffer from the increase in the Chinese government’s ban on the crypto market. As it is a Chinese exchange, operations on the global platform depended on the central in the Asian country.
On that occasion, an employee of the brokerage provided the Bitcoin Portal that the operational problems at Coinbene were not limited to Brazil and that the company would soon close its operations in the rest of the world.
Later, the information was confirmed by Coinbene’s official channels when the brokerage firm announced the permanent closure of its services in all jurisdictions in which it operated until then.
Also in the October announcement focused on the Brazilian public, the company had set today, the last day of November, as the deadline for all customers to withdraw the balance that was still stored on the platform.
Although November is a day off, at the time the Coinbene team warned users: “After November 31, there will be no customer service staff to accept the withdrawal request. Users need to bear the property losses caused by not withdrawing money in time”.
The process of withdrawing funds, however, may not be so simple as the broker’s website is having problems in the user login area.
In Coinbene’s official Telegram group, focused on Latin American customers, company support confirmed that the problem at login time: “Due to the maintenance of CoinBene’s global server, the page www.coinbene.com/br/ is presenting a problem that is making login impossible. We are very sorry for that.”
To be able to enter the platform, users are required to fill out a form with their personal information such as CPF, address and date of birth and send a photo of their identity card or CNH. In addition, users must also submit a selfie holding their official document along with a paper written “CoinBene” and the date of request.
Only after completing all these steps, the user can have access to a customer service service dedicated to granting withdrawals.
Since the exchange confirmed the departure from Brazil, at least 15 users have complained on Reclame Aqui about the difficulty of withdrawing funds from the platform in this final stage.
A client from São Paulo, for example, wrote last Saturday (27) that he had been trying since the end of October to withdraw the balance in bitcoin he had left standing at Coinbebe for three years, but without success.
“I followed the guidelines, sending the necessary documents and selfie to be able to withdraw on 11/30, but as reported more than once to you (10/30, 11/06, 11/09), no matter how authenticator, pin and e-mail code are correct, I can’t transfer and my questions are not answered”.
He reports that he tried the broker’s international support, but he also had no return. “I’m going to claim my rights in other ways since I’m not getting the support I need from the company,” he concluded.
Another user from Barueri (SP) claimed the same problem, saying that he has more than R$ 10 thousand in cryptocurrencies stuck on the platform and that even after sending more than 50 withdrawal requests, he has not been answered.
The report got in touch with Coinbene representatives in Brazil, but as of this writing, there has been no response.
CBDC: Japan urged to intensify its development
- Japan urged to intensify the development of its CBDC
- Bank of Japan intensifies research
- Government officials continue to mount pressure on BOJ
Countries across the world are presently ramping up preparations to create their respective central bank-backed digital currency. Although some countries have launched their CBDC, China still leads in top countries hoping to list the currency. With China and other countries still in the lead, Japan has been urged to intensify its approach towards making its CBDC. According to the report, politicians have urged the finance officers to make haste and debut its digital currency like most countries.
BOJ intensifies research into its CBDC
Japan has been integral in the adoption of digital assets over the years, and the politicians do not want to lose this status. According to many reports, China is still testing as its CBDC is continually being tested across the country. Recently, it inked several partnerships with brands to intensify the testing in major cities. In its race to outpace China, Japan has bolstered its financial officer, which is tasked with researching every aspect concerning digital currencies. Despite its lengthy move to develop its CBDC, the Bank of Japan has preferred to attack it with caution. But with the increased pressure from the top echelons in the country, the bank might be forced to consider a new and aggressive approach.
WinNow’s cryptocurrency has completed its mainnet launch and looks at a utopian metaverse
ENEVA, SWISS. It just seems 2021 is the year of the metaverse and more and more companies are positioning themselves to be present in what appears to be a trillion dollar business.
On November 16, a group of European developers and cryptocurrency experts launched WinNow ($WNNW) to act as a DAO token in the Wonniw metaverse, a P2E game with real-world dynamics able to generate yield through the choices of its citizens.
A DAO token is a modern form of democratic representation, the participants in the game will therefore be able, through the WinNow token, to take an active part in the decisions on the dynamics of functioning of the metaverse.
According to reports from the team’s Medium, the metaverse Wonniw has all the credentials to be able to try to replicate a utopian reality, in which all citizens and mayors elected by the DAO are equally incentivized towards a common goal called “sustainability”.
The development of the metaverse is in the alpha phase, team has already signed an agreement with a European software house, Falcon Interactive, and the launch of a first playable version is currently scheduled for March 31, 2022.