Which Central American country recently switched its currency to include Bitcoin in 2021?

Which Central American country recently switched its currency to include Bitcoin in 2021?

• A. Honduras
• B. El Salvador
• C. Nicaragua
• D. Panama

Answer: (B)

El Salvador is the Central American country that made headlines in 2021 by becoming the first nation in the world to adopt Bitcoin as legal tender. This significant decision was part of a broader effort to integrate cryptocurrency into the economy, allowing Bitcoin to be used in everyday transactions alongside the US dollar. The government aimed to enhance financial inclusion, decrease remittance fees, and attract foreign investment through the use of digital currency. The other countries listed have not implemented a similar policy of officially recognizing Bitcoin as a legal form of currency. While cryptocurrency discussions may occur in those nations, they have not taken the formal steps that El Salvador has, emphasizing the uniqueness of El Salvador's approach in the region.

El Salvador is the Central American country that made headlines in 2021 by becoming the first nation in the world to adopt Bitcoin as legal tender. This significant decision was part of a broader effort to integrate cryptocurrency into the economy, allowing Bitcoin to be used in everyday transactions alongside the US dollar. The government aimed to enhance financial inclusion, decrease remittance fees, and attract foreign investment through the use of digital currency.

The other countries listed have not implemented a similar policy of officially recognizing Bitcoin as a legal form of currency. While cryptocurrency discussions may occur in those nations, they have not taken the formal steps that El Salvador has, emphasizing the uniqueness of El Salvador's approach in the region.