El Salvador has recently broken ground on the construction of an airport named Pacífico Airport, also known as Bitcoin City Airport. According toCriptonoticias and domestic media outlets, this airport construction will coincide with the construction of Bitcoin City. A month ago, YouTuber Albert Sánchez shared footage of construction crews working on the site, proving that the project is still very much alive despite rumors of delays and cancellations.
Bitcoin City will be situated at the foot of a volcano and will utilize geothermal power for its energy needs, including mining Bitcoin (BTC). With BTC as legal tender, El Salvador’s government envisions a tax-free business environment for residents in Bitcoin City, a plan first revealed in late 2021.
Skepticism around this ambitious endeavor started when BTC prices fell and the project was delayed beyond the initial timeline. Doubts continued to grow when a government ministry seemed to have no information about Bitcoin City. However, a government-linked body confirmed last month that the construction plans are still in place.
At the construction site, heavy machinery has been spotted working on the land. The Autonomous Executive Port Commission (CEPA) has assigned an initial budget of $73 million to the airport project, with its total projected cost amounting to $350 million. The government approved the commencement of construction after receiving the required environmental permits.
While excavators are already on the site in Flor de Mangle, the department of La Unión, Eastern El Salvador, some local community members have expressed concern about the project’s negative impact on the area’s animal and plant life. They stated that at least 52 families will have to be relocated because of the construction.
The government positions Bitcoin City and Pacífico Airport as “sister projects”, as both were unveiled simultaneously and designed by Mexican architect Fernando Romero. To finance the projects, the government plans to issue much-awaited (and significantly delayed) Bitcoin bonds. A senior Bitfinex executive claimed last month that the BTC bond issuance would take place this summer.
However, some United States senators have expressed concerns about President Nayib Bukele’s BTC adoption plans and have called on the government to launch a risk report. The debate over the merits of these innovative ideas reveals a complex reality where the pursuit of a blockchain future meets conflicting interests, concerns for environmental sustainability, and local community impact.
Source: Cryptonews
