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El Zonte, El Salvador After El Salvador's congress made the bitcoin legal tender today, eyes turned to this rural fishing village on the Pacific coast. Known to internet users for its pounding waves, El Zonte has had the cryptocurrency in its economy for the past year. Some 500 fishing and farming households use bitcoin to buy groceries and pay utilities, something the federal government imagines for the nation at large.

El Zonte's small bitcoin economy 26 miles from the capital came about through an anonymous donor who started overcoming a local not-for-profit group in 2019. Advocates of the monetary modification point to it as a presentation case for how digital currency could help in a nation where 70% of the individuals do not have checking account.

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Specialists are attempting to find out why Mr. Bukele is pressing bitcoin. They say it is uncertain how the highly volatile cryptocurrency will be a good choice for the unbanked and only time will inform if the new system translates into genuine investment in El Salvador. Bitcoin, intended as an alternative to government-backed money, is based mostly on complex math, data-scrambling cryptography hence the term "cryptocurrency" lots of processing power and a dispersed worldwide journal called the blockchain, which tapes all deals.

In El Zonte today, building and construction worker Hilario Glvez strolled into Tienda Mara to purchase a soda and treats to show his buddies. Rather of grabbing his wallet, he paid through an app on his phone. The store's namesake, Mara del Carmen Avils, stated she is now expert in bitcoin transactions."When a customer comes I ask him if he's going to pay with the application or in money.