El Salvador Introduced Fuel Subsidies For Everyone That Pays In BTC

El Salvador introduced fuel subsidies for every citizen that will pay in BTC in a bid to bolster adoption of the government-issued Chivo wallet by offering discounts on petrol purchased of $0.20 per gallon so let’s read more in our latest Bitcoin news today.

Salvadoran president Nayib Bukele announced that all local consumers can enjoy a $0.20 per gallon reduction in petrol prices when paying using government-backed BTC Wallet Chivo. Describing the news as great news for the pockets of people in El Salvador, the president announced the subsidies on Twitter and he stated:

“The state company Chivo negotiated with the largest gas station companies in our country, so that starting tomorrow, their stations will sell each gallon of fuel $ 0.20 cheaper, with Chivo wallet.”

Nayib Bukele, Source: Wikipedia

Bukele emphasized that there’s no limit to the discount and that any local person or company can access teh rebate but added that teh discount will delete several increases in the international price of fuels and reduce all transportation costs in the supply chains. However, some people in the country don’t seem convinced that the subsidy benefits the public with one user posting:

“Those 20 cents will come from all of us, right? The gas station does not lose, there goes the refund after paid with the taxes of even those who walk on foot.”

Others were quite cynical of the government’s decision to offer a discount to those that pay using Chivo, with another user questioning why the administration didn’t move to offer relief on fuel prices at an earlier date. Bukele also revealed that he has authorized a fund that is intended to stabilize teh domestic price of the liquified gas. The president asserted that while the international market planned a $.17 rise in the price of 25-pound cylinders of liquified gas, Salvadoran locals will experience a slight reduction in the cost.

People protesting against Bitcoin in El Salvador. Image Yonhap News

He added that the government will absorb the increase for one year and any reductions in the global gas prices will be passed on to the consumers during the same time. El Salvador introduced fuel subsidies and became teh first country to legally recognize Bitcoin as legal tender in the country. According to Bukele, one-third of the people in the country were already using Chivo less than three weeks after the launch. Many however expressed skepticism regarding Bukele’s reports of surging crypto adoption with critic David Gerard asserting that Salvadoran officials are feeding the president numbers that are not real.

By: Stefan
Title: El Salvador Introduced Fuel Subsidies For Everyone That Pays In BTC
Sourced From: www.dcforecasts.com/bitcoin-news/el-salvador-introduced-fuel-subsidies-for-everyone-that-pays-in-btc/
Published Date: Mon, 04 Oct 2021 10:35:42 +0000