Progress on El Salvador’s ‘Bitcoin City Airport’ Construction

In late 2021,Bitcoin City project remains in place

In late 2021, the government presented the plan for the first time, claiming that Bitcoin City residents would be able to conduct tax-free business in a nation where BTC is legal tender. There was some speculation that the project might have been put on hold after BTC prices dropped last year. Following the government’s assertions that ground would be broken on the city last year, these rumours gained momentum when the nation failed to begin work on the project in 2022. When a government ministry appeared to say earlier this year that it had no knowledge of the Bitcoin City project, more questions were raised. However, a government-affiliated body confirmed last month that the construction plans for Bitcoin City are still in place. Additionally, it would appear that the airport project validates President Nayib Bukele’s BTC aspirations. At the construction site, “heavy machinery” is currently “removing earth,” according to the media outlet.

Airport complex under way in Eastern El Salvador, facing opposition from local community

The Autonomous Executive Port Commission (CEPA) has given the project a starting budget of $73 million, but the airport is expected to cost $350 million in total. After the project “received the necessary environmental permits to erect the complex,” the government gave the go-ahead to begin the construction process. Several videos of excavators “belonging to the Ministry of Public Works” working on the town of Flor de Mangle in the department of La Unión in Eastern El Salvador have been posted to social media. However, members of the local community have voiced their displeasure with the move, claiming that it is putting the animal and plant life in the area in jeopardy.

“At least 52 families living in the area” will need to be “relocated,” according to community leaders. Bukele’s administration has discussed the air terminal and Bitcoin City as being “sister projects,” as both were uncovered simultaneously. Additionally, Mexican architect Fernando Romero was in charge of their design. The government hopes that the issuance of its much-delayed and long-awaited Bitcoin bonds will assist in financing the projects. Last month, a senior Bitfinex executive stated that the BTC bonds would be issued this summer. However, senators in the United States have called for the government to launch a risk report in response to their concerns regarding Bukele and his plans for BTC adoption.