Quote from: Cryptogames999 on Today at 03:08:57 AM

Quote from: fillippone on January 12, 2023, 12:44:58 AM

Coming back strictly own topic: apparently something is moving in the right direction regarding the Volcano Bond.

The law has been approved by the parliament and it will be soon enacted.

So it's like a comprehensive framework to be applied to the digital assets as explained in the detailed thread.

It's nice to see good things in 2023 and even Bitcoin showing some improvements than last year. I hope you had a great move in this year.
What do you say if the Bitcoin price drops this year than last year and what will happen to the Volcano bonds too?

Of course, the bonds are issued long term, so if the BTC price drops prior to the ability to issue then there would be a low subscription rate, and but if they reach their targets in regards to the subscription, then the terms for servicing the bonds are not very onerous, and El Salvador would be able to use the money for the stated purpose. It seems that a BIGGER problem would be present if the BTC price continues to drop and fails to rally for several years. The bond terms are not unfavorable to El Salvador, so El Salvador could pay the bonds over time, but it would be better for everyone if BTC prices would at least go up 6% or so per year.. and better yet if they were to go up more than that... accordingly, it seems way better to issue these bonds on a dip in BTC prices rather than prior to a dip, and yeah of course, we do not know if the price will stop dipping, so that is one of the risks that both El Salvador takes and also anyone who buys into such a bond that already has a stated purpose that involves investing in bitcoin and bitcoin-related projects.