The well-known economists Max Keiser and Stacy Herbert obtained Salvadoran residence when they invested in the country in Bitcoin.
This news has been the tendency in sites specialized in cryptocurrencies seeing that many are aspiring to Salvadoran residence. How much Bitcoin do you have to invest in to obtain said residence? The answer to this question is completely uncertain and we’ll explain why, here.
El Salvador, a pioneer in the cryptocurrency world
Since last September 7, 2021, the Bitcoin is the legal tender in El Salvador. This way, the small Central American country has become the first in the world to adopt this cryptocurrency. The Salvadoran President, Nayib Bukele, announced that he would build a “Bitcoin City”. This city would be financed through Bitcoin bonds.
The much publicized “Bitcoin City” will be tax-free on income. Nor will taxes be applied to capital gain. Plus, Bukele reassures that investors in “Bitcoin bonds” will obtain permanent residence in El Salvador.
At no time was residence spoken. Furthermore, there is no legal document, recognized by the Department of Migration and Foreign Affairs, that establishes the steps to follow to obtain that “residence by investment”.
How to obtain residence in El Salvador?
The Special Migration and Foreign Affairs Law has been in force in El Salvador since 2019. This law recognizes that it is possible to obtain in this country: temporary residence, definitive (permanent) residence and residence.
Investors of a commercial company, registered in El Salvador, can receive temporary residence, which is valid for one or two years. Then, after a year has gone by, if those investors are of Spanish or Hispanic American origin, they can apply for permanent residence.
In the case of temporary residents who don’t come from Latin America, they will have to maintain their temporary residence for three years. Then they can apply for permanent residence.
Can Bukele influence a change in the law to include residence by investment with Bitcoin? For him, it could happen. However, up until now, there is no legal corpus that supports granting this type of residence.
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