El Salvador is postponing the issuance of bitcoin bonds until September

El Salvador's finance minister confirmed the transfer of government bonds to the international market

The politician said that now was "not the time for that" and also referred to difficult market conditions

It is worth waiting for the issue of securities in the period from June to September this year

According to Reuters, the issuance of El Salvador's bitcoin bonds is delayed by $ 1 billion. The reason lies in "unfavorable market conditions."

Recall that in November, the President of El Salvador announced plans to issue government bonds secured by bitcoin. It was planned that the first securities will hit the market on March 15.

However, apparently, the project was decided to postpone indefinitely. On Tuesday, March 22, Finance Minister Alejandro Zelaya said the following as part of the show "Frente a Frente":

“Now is not the time to issue bonds. The market situation is complicated. The situation of cryptocurrencies and Russia's war against Ukraine create unfavorable conditions. "

The politician also noted that the authorities intend to reconsider this project in June-July this year:

“The situation may be different. At the latest in September. If you enter the international market after this period, it will be much more difficult to raise capital. "

It was assumed that the proceeds from the sale of government bonds will cover the ambitious project of the President of El Salvador - "Bitcoin City". This modern city was conceived as a Mecca for miners.

Of the billion received, the authorities planned to spend 500 million on the purchase of bitcoins. The second half of the amount would go to building the infrastructure needed to mine BTC using geothermal energy.

Although the project seems too ambitious, it has attracted the attention of industry whales. And if the bonds issued in cooperation with Blockstream still enter the market, it is possible that "Bitcoin City" will build.