The authorities of El Salvador have just announced the country's government plans to launch a Bitcoin bond, FT has reported.
According to the publication, El Salvador aims to raise $1 billion in this way and use the funds to improve the country's mining infrastructure and buy cryptocurrencies.
The launch of the bond could take place between March 15 and 20.
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El Salvador's finance minister, Alejandro Zelaya, has said the bond's rate will be 6.5% per annum. El Salvador's partner for the bond issue is startup Blockstream, which will handle the technical aspects of the placement.
El Salvador expects that following the tightening of monetary policy in global markets, there should be panic selling.
The country expects that Bitcoin will also suffer losses, a moment it will take advantage of to increase its cryptocurrency reserves at low prices.
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