In addition, the company that advises the Executive on the issuance of the bonds has also offered officials to connect the country to its satellite network and maintain its synchronization with the Bitcoin network.
The government of Nayib Bukele plans to issue Salvadoran bonds for Bitcoin mining, says a company official who is advising the Executive on this matter, according to a note published by Coindesk.com, a site specialized in cryptocurrencies.
“The bond offering that we propose will be a critical component of the development of Bitcoin in El Salvador. It seems they can do it quickly, ”reveals Samson Mow, chief strategy officer at Blockstream, the firm that is advising El Salvador on the issuance of these bonds.
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The executive says in the Coindesk interview that it would be done through Blockstream Financial, a new corporate division that is working to structure “some possible bond offerings” on the Liquid network, a bitcoin scaling system backed by Blockstream.
Mow indicates that the talks are taking place at a “high level”, although they are still in an “early stage”.
According to the specialized site, the company Blockstream, specialized in Bitcoin infrastructure, explains that the bonds that the Salvadoran government would launch will be directed to finance the mining of Bitcoin with volcanic energy.
“Bukele wants El Salvador to become a bitcoin mining hub, potentially tapping into its rich geothermal resources, as well as a hub for blockchain software development and a haven for the crypto-rich,” reads the site’s note.
Another agreement between the Bukele administration with that company, according to Coindesk, is so that the country can connect to its satellite network and maintain its synchronization with the Bitcoin network in cases of blackouts or internet drops.
In this sense, the publication indicates that on June 5 the company promised provisions to connect El Salvador with its Blockstream Satellite program.
Mow reveals to CoinDesk that “the company has sent two satellite kits to the country and that“ early stage ”but“ high level ”conversations are taking place around“ volcano mining ”(or geothermal mining energy). ”.
In addition, Mow points out that “the bonds could float to finance the mining operations of the State, which would take advantage of the currently stranded geothermal energy.”
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Both Bukele and some of his officials, including the Minister of Finance, Alejandro Zelaya, have come out to give statements in related media and the president on the national chain about the Bitcoin Law (approved on June 9) but none have explained these details that come to light in foreign media and on the lips of companies with which the government has negotiations.