Working with Max Keiser and Stacy Herbert, early bitcoin adopters and content creators, who live in El Salvador, the funds are being distributed in towns and cities where street gangs have been accused of extorting money from businesses. El Salvador made bitcoin legal tender in 2021, and the country has become a testing ground for major corporations such as McDonalds and Starbucks to implement bitcoin technologies such as the Lightning Network, a peer-to-peer ‘layer 2’ payment protocol.
The funds, which are first targeted at small businesses in some of the country’s most socially-deprived communities of Ilopango, Soyapango and Apopa, will support a variety of projects and initiatives. Among the ventures supported by the donations are green business initiatives employing young men to reduce pollution in lake Ilopango and clean up litter in Apopa.
The bitcoin donations are being passed through to recipients’ bitcoin wallets, including the Chivo wallets, which have been made available to every adult in El Salvador to promote the adoption of bitcoin.
“This funding demonstrates in real time bitcoin’s potential to bring prosperity and economic freedom,” said Paolo Ardoino, CTO at Bitfinex. “By providing bitcoin and Tether to local communities in El Salvador, we will provide vital support to small businesses while also countering the effects of gang violence that has swept across the country.”
Bitfinex Securities El Salvador, S.A. de C.V. is acting as a financial technology provider for El Salvador’s forthcoming US$1 billion Volcano Token. The Bifinex trading platform will provide the technology infrastructure to allow the token to trade in efficient and liquid markets.
iFinex Inc., the parent company of Bitfinex, is also collaborating with the Government of El Salvador to create a digital assets and securities regulatory framework to regulate, issue, and operate digitized financial instruments in El Salvador, as well as assist in creating and implementing balanced cryptocurrency legislation and regulation on digitized financial instruments as they promote the growth of the cryptocurrency industry in El Salvador.
*The Volcano Token will only be available to verified Bitfinex Securities customers in eligible jurisdictions. The token will not be available in the US or to US persons.
About Bitfinex
Founded in 2012, Bitfinex is a digital token trading platform offering state-of-the-art services for digital currency traders and global liquidity providers. In addition to a suite of advanced trading features and charting tools, Bitfinex provides access to peer-to-peer financing, an OTC market, and financed trading for a wide selection of digital tokens. Bitfinex’s strategy focuses on providing unparalleled support, tools, and innovation for professional traders and liquidity providers around the world. Visit www.bitfinex.com to learn more.
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