On December 11, the Volcano Bond was approved by the country’s Digital Assets Commission, with issuance scheduled for Q1 2024.

Volcano Bonds

El Salvador’s long-awaited Bitcoin bonds, also known as “Volcano Bonds,” are expected to be launched in early 2024, according to reports.

According to a Dec. 11 release from The National Bitcoin Office (ONBTC), the Volcano Bond has been approved by El Salvador’s Digital Assets Commission and is scheduled to launch in the first quarter of 2024.

Nayib Bukele, the country’s pro-Bitcoin leader, appears to have confirmed the story in a post captioned “Wen volcano bond,” while also sharing several postings indicating that the bonds will be issued in Q1, 2024.

Source: Nayib Bukele

On January 11, El Salvador enacted significant legislation establishing the legal foundation for the Bitcoin-backed bond for the first time. The Volcano Bond is designed to pay down sovereign debt while also funding the country’s envisioned “Bitcoin City.”

ONBTC stated that the bond will be issued on the Bitfinex Securities Platform, an El Salvador-registered trading platform for blockchain-based equities and bonds.

It marks the start of Bitcoin-based capital markets in the country, with the bonds expected to endure 10 years and give holders a 6.5% annual return.

El Salvador recently announced a $1 billion Bitcoin mining project utilizing the country’s volcanic resources in collaboration with Luxor Technology. The volcano Conchagua will power the country’s mining operations.

Source: Bitcoin Beach

The clearance comes about 21 months after former Finance Minister Alejandro Zelaya stated that the Volcano Bond will be available in mid-March 2022.


El Salvador’s Volcano Bond is a bold and ambitious initiative that could pave the way for a new era of financial innovation. However, the project’s success will depend on the ability to navigate market volatility, address regulatory challenges, and overcome technological and environmental hurdles.