El Salvador may soon open a Bitcoin Embassy in Texas. This embassy would serve as a hub for all potential crypto-related initiatives that might be put into testing. The idea was recently discussed during a meeting between Jose Esparza, the Deputy Secretary of State for Texas, and Milena Mayorga, Salvadoran ambassador to the US. El Salvador and Texas both have an optimistic outlook on the cryptocurrency sector and their governments are ready to work together to promote crypto adoption.
Even after losing millions of dollars on its high-profile wagers on the token, El Salvador is still pushing for greater use of the cryptocurrency and plans to create a “Bitcoin Embassy” in the US.
Why is El Salvador Going For Texas?
The second-largest state in the US, Texas, is actively fostering an ecosystem that is favorable to cryptocurrencies. Texas is an attractive destination for cryptocurrency mining firms due to its low electricity prices and favorable climate.
Milena Mayorga, El Salvador’s ambassador to the United States, tweeted to her nearly 376,000 followers on Tuesday, “The state of Texas, our new buddy.” A cooperation between the state of Texas and the nation that became the first in the world to recognize bitcoin as legal cash in 2021 will see the opening of the El Salvadoran government office in Texas.
“I met with Joe Esparza, the assistant secretary of the Texas government, and we talked about the opening of the second Bitcoin Embassy as well as the growth of projects for commercial and economic exchange.”
The suggestion from the Salvadoran ambassador comes after El Salvador approved the Digital Assets Issuance Law in January 2023 and the International Monetary Fund (IMF) recently updated its mission statement on El Salvador’s economy. The sluggish acceptance of BTC in El Salvador, according to the agency, has allowed the nation to avoid negative impacts associated with cryptocurrencies. The move comes following the remarks made by Salvadoran President, Nayib Bukele, on media misinformation.
In order to promote “initiatives to drive the acceptance of Bitcoin and other cryptocurrencies across their various regions,” the Central American nation opened a “Bitcoin office” in Lugano, Switzerland, in October 2022. Also, the nations stated at the time that it would promote “the interaction of students and skills between El Salvador and Lugano.”
El Salvador had acquired 2,381 bitcoin as of November 2022. The value of the nation’s stake on Wednesday when BTC was worth $23,056, was roughly $55 million. Based on a study of tweets from El Salvador’s President Nayib Bukele, a source estimated that the government paid around $105 million for the cryptocurrency in November.
What Impact Will This Make?
Bitcoin embassy’s emergence, in the opinion of former Blockstream Chief Strategy Officer Samson Mow, represents the next step in the adoption of Bitcoin by governments and cities. In order to create new projects, he continued, such activities involve international collaboration, such as the formation of coalitions among nations that have adopted Bitcoin.
A new measure that would establish a “master plan for the evolution of the blockchain business” is reportedly being considered by Texas lawmakers at the time of the announcement. The proposed legislation aims to establish Texas as the nation’s capital of cryptocurrencies by, among other things, enabling tax-free Bitcoin purchases.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/03/08/el-salvador-seeking-to-establish-bitcoin-embassy-in-texas/