Just-In: El Salvador’s Bukele Re-elected As President

In a surprising development, El Salvador’s ruling party has approved a constitutional reform allowing President Nayib Bukele to potentially serve another term. This development is expected to have significant implications for the country’s Bitcoin ambitions, given Bukele’s pro-crypto stance.

El Salvador’s President Gets a Green Light

Recent reports reveal that El Salvador’s President Nayib Bukele is set to remain in power beyond his current term after the country’s legislature approved constitutional reforms. The amendments passed on Thursday allow for indefinite presidential reelection, extend presidential terms from 5 to 6 years, and eliminate runoff elections.

Interestingly, Bukele’s New Ideas party passed a package of five reforms with a 57-3 vote, paving the way for significant changes in El Salvador’s governance. While Bukele seemed doubtful about the need for constitutional reform, he dodged questions on whether he’d pursue a third term.

Addressing President Bukele, lawmaker Ana Figueroa, who proposed the bill, stated,

This is quite simple, El Salvador: only you will have the power to decide how long you wish to support the work of any public official, including your president. You have the power to decide how long you support your president and all elected officials.

Nayib Bukele took office for his second presidential term on June 1, 2024. He spearheaded the country’s Bitcoin accumulation strategy, increasing its BTC holdings to 6,246.

However, not everyone supported the move. Opposition Republican National Alliance (ARENA) legislator Marcela Villatoro condemned, “Today, democracy has died in El Salvador.” Noah Bullock, executive director of Cristosal, a human rights group, criticized the government’s actions. He stated,

The day before vacation, without debate, without informing the public, in a single legislative vote, they changed the political system to allow the president to perpetuate himself in power indefinitely and we continue to follow the well-traveled path of autocrats.

How Bukele’s Extended Term Could Impact Bitcoin Ambitions

Nayib Bukele is one of the leading global advocates for Bitcoin. He pioneered the adoption of Bitcoin as legal tender in 2021, making El Salvador the world’s first country to recognize it as official currency.

Under his leadership, El Salvador is accumulating Bitcoin despite restrictions from the International Monetary Fund (IMF). Recently, the Bitcoin Office announced that the country is continuing its daily accumulation strategy, purchasing 1 Bitcoin every day.

Notably, Bukele’s extended term is expected to provide stability and continuity for El Salvador’s Bitcoin strategy. It may allow the country to maintain its momentum in crypto adoption and accumulation. With a clear vision for Bitcoin’s role in the economy, the country could attract more crypto-related investments and other developments.