El Salvador could follow in the footsteps of Singapore and become the financial center of the Americas, said Gabor Gurbacs, a strategic advisor at investment management firm VanEck.
“I often tell portfolio managers and asset allocators that El Salvador has the potential to become the Singapore of the Americas,” says Gerbacks. explained Posted by X on October 28th.
Similar to what Singapore achieved in the late 1900s, Gurvacs expects new capital investment and immigration to be the main drivers of El Salvador’s economic growth in the coming years.
His comments were in response to an Oct. 28 post by U.S. broadcaster and Bitcoiner Max Keizer with the caption, “Move to #ElSalvador, the new land of freedom.”
Kaiser, who currently lives in El Salvador, cited the legal tender status of Bitcoin (BTC) and the US dollar, El Salvador’s crime-fighting, amazing beaches, and other reasons why the Central American country should be of interest to everyone. And he mentioned delicious coffee. radar.
I often tell portfolio managers and asset allocators that El Salvador has the potential to be the Singapore of the Americas. I expect immigration, capital investment, and overall growth in El Salvador to continue to increase. https://t.co/CmT554x12j
— Gabor Gurbacs (@gaborgurbacs) October 28, 2023
El Salvador’s status as an emerging economy became even more pronounced when Nayib Boucle was appointed president in June 2019.
El Salvador’s government bonds have outperformed many other emerging markets this year, returning an astonishing 70% through August. It also attracted the attention of JPMorgan and other major investment banks.
The people at FIAT @JP Morgan El Salvador says it has finally “gained some credibility.”
They’re just catching up.
Soon, “El Salvador’s bonds will be investment grade.”
You know what? pic.twitter.com/6Z1r7iS9M4
— Nayib Bukele (@nayibukele) May 9, 2023
Bukele and the Salvadoran government introduced Bitcoin as a fiat currency in September 2021, in addition to rolling out the Cibo Wallet, a Bitcoin storage wallet, to all Salvadorans in the same week.
El Salvador is also using its volcanic resources to power Volcano Energy, a Bitcoin mining startup launched in June with a $1 billion investment. Mr. Keizer serves as the company’s executive chairman.
The company’s first mining pool was launched in October following a partnership with Bitcoin miner Luxor Technology.
Related: El Salvador’s Bitcoin Strategy Evolves for 2022 Bear Market
In May, El Salvador appointed Dr. Saifeddine Amos, author of “Bitcoin Standard”, as economic advisor to the National Bitcoin Authority. The country plans to accumulate Bitcoin as a strategy to wipe out its debt within the next five years.
Bukele also took the bold step of eliminating all taxes on innovation in April. This could potentially attract more entrepreneurs and foreign capital to the country.
magazine: What is it really like to use Bitcoin in El Salvador