Ahead of the Bitcoin Law implementation date set on September 7, President Nayib Bukele of El Salvador unveiled Chivo, a government-issued app that will be used to distribute the crypto to the country’s residents.
Reports about the application say every citizen that completes the download and registration process will be automatically eligible for the $30 bitcoin airdrop.
President Bukele said the move to give free bitcoin to citizens is part of an effort to bolster the adoption of the crypto across the nation that recently gave it a “legal tender” status.
The rationale behind
As generous as the move may sound, there are some people that are questioning why the country’s government opted to provide residents with a government-issued wallet.
A simple answer to this question is logistics, as the anonymity of bitcoin makes it so that people can create multiple wallets from other wallet providers. This could turn out to be nightmarish for the government, making discerning who is real and who is not a lot more difficult.
A government-issued wallet would mean El Salvador can easily confirm the users were actual citizens of the country. Also, this will minimize the possibility of people trying to receive more than one bitcoin airdrop.
Not necessarily a place for holding coins
The fact that the wallet is government-issued and as well as the airdrop does not necessarily mean people will have to leave their coins there.
In fact, as soon as they get their $30 worth of bitcoin, they can transfer it out immediately to any wallet of their choice. But at the very least, there will be a record that they have already received the airdrop.
Image courtesy of Cointelegraph News/YouTube
