Alejandro Zelaya (El Salvador’s Treasury minister) explained that current tensions between Russia and Ukraine have affected the bitcoin price, disrupting it. Zelaya said that the issue of volcano bonds to fund the Bitcoin City construction, originally announced by President Nayib Bukele, was impossible due to disruption.
El Salvador’s Treasury Minister, Treasury Minister says conflict is affecting Bitcoin price action
Geopolitical instability and military conflicts could have an impact on the Bitcoin price. Alejandro Zelaya is the Minister of Treasury of El Salvador who believes these variables are responsible for delays that the volcano bonds launch is currently experiencing.
Zelaya said that investors could have diverted money to other sectors during the Russia-Ukraine war. He said:
Many investments made in crypto were converted to investments in arms companies after the war between Russia and Ukraine. There was a transfer of investment to the pharmaceutical and other industries. In certain cases these investments went to farms that produce agricultural supplies.
Furthermore, Zelaya explained that, due to this disruption in prices caused by the aforementioned conflict, it is not the time to issue El Salvador’s volcano bonds. The bonds will finance a part of Bitcoin City’s operations using only geothermal energy. They were originally scheduled to launch in the third month of this year.
Activated the HODL Mode
Zelaya called on experts to criticize the Bitcoin purchases made by the El Salvador government through Nayib Bukele, its president. Currently, El Salvador holds more than 2,500 BTC in its wallets, purchased at different prices, with Bukele announcing he had “bought the dip” several times.
Zelaya said that bitcoins weren’t purchased to be sold, and there were no financial losses from the sale of these Bitcoins. He said:
They always come out and say ‘they’ve lost,’ when we haven’t really sold the coin. If you don’t sell the coins, you keep them, you wait [until]The price of the product goes up once again.
Let us know your thoughts on the statements made by Treasury ministersAlejandro Zelaya discusses the bitcoin price and launch delays for volcano bonds. Let us know your thoughts in the comment section.
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