El Salvador’s Bitcoin, AI Plans Could Tenfold GDP By 2029: Cathy Wood
El Salvador could see its gross domestic product (GDP) increase tenfold in the next five years if it continues with Bitcoin (BTC) and artificial intelligence adoption plans under President Naib Bukele, said Kathy Wood, CEO of Arc Invest.
“President Buchel's commitment to transitioning El Salvador to the Bitcoin and AI communities — two of the biggest economic and technological revolutions in history — is the reason I believe the real GDP can increase 10-fold in the next five years. After meeting with Buchel, Wood posted on May 28 Lai said.
Bitcoin's integration with capital markets, AI and tax policies were the main topics discussed between Wood and Booke.
Wood “walked us through the numbers” on how El Salvador could grow GDP 10-fold to $300 billion by 2029, said Max Kaiser, who advises Buckel on Bitcoin-related matters.
Bitcoin advocate Stacey Herbett, United States economist Arthur Laffer and ARK Invest Research Associate Mark Stamp attended the meeting.
El Salvador's GDP in 2010 It was $32.4 billion by 2022. In June 2019, it was over 30%, according to World Bank data.
At $300 billion, the Central American country's GDP would be on par with Romania, the Czech Republic and Chile.
Since Buccle's first term as president, El Salvador has introduced legal tender for Bitcoin, eliminated taxes related to technological innovation, and in March eliminated income taxes on foreign investments and remittances.
In April 2024, Google officially expanded into the country with a $500 million strategic partnership.
El Salvador holds 5,764 bitcoins in its treasury – worth $396.2 million – which represents a 58.6% increase from the average purchase price.
Related: El Salvador Bitcoiners Teach 12-Year-Olds How to Send Sat
Arguably, the adoption of Bitcoin among the local population has not been that successful.
El Salvador's largely tech-illiterate population, lack of business enforcement, and the 2015 release of El Salvador's Chivo pocket by 2021
In the year In 2023, only 12 percent of the local population used bitcoin at least once to pay for goods and services, down from 2022, according to a January study by Jose Simeon University of Central America.
Robinson notes that Bitcoin's upward price trend in early 2023 has seen new merchant adoption begin in recent months.
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