President Nayib Bukele, El Salvador
El Salvador unveiled its Freedom Visa program last week, aiming to receive $1 billion through donations, in an effort to attract at least 1,000 high-net-worth individuals who will allocate $1 million to the government of El Salvador, in exchange for the national program's residency benefits. This initiative is part President Nayib Bukele’s Bitcoin
The program offers a path to obtain Salvadoran citizenship and a passport for the donor and family members. The participant should make a non-refundable $999 payment to start the process. If they meet all the requirements, then they have to complete a donation of $1 million to complete the paperwork.
"Experience Freedom, Security, and a Bitcoin lifestyle by adopting El Salvador as your home. El Salvador has been reborn as the land of economic liberty. But this is just the beginning. Come help us build the future you want to see," the program's official website explains. The Freedom Visa has the technological support of Tether
The Freedom Visa is a way to obtain El Salvador papers while supporting the newest version of El Salvador. The promised transformation of the country will be boosted through the donations of those willing to participate in the program. "There are no programs similar to ours because there is no country like El Salvador today," El Salvador's Bitcoin Office advisor Stacy Herbert explained to me in an interview. Herbert also clarified that the program works as a donation, not an investment scheme.
The idea is to onboard 1,000 transformative individuals who are also interested in building a "legacy," she argued. "If you want to build something to last for hundreds of years, then you want the Freedom Visa," Herbert said.
For The Critics, The Freedom Visa Is Too Expensive
But despite the optimism of Herbert and Salvadorean representatives like El Salvador U.S. Ambassador Milena Mayorga or Vice Minister of Foreign Affairs of El Salvador Adriana Mira, the program’s critics say the price is too high and the government needs to clarify more information about the program.
"I don't see El Salvador's Freedom Visa being very attractive to Americans informed of market alternatives. El Salvador is asking a hefty million-dollar price tag for what appears to be a citizenship-by-investment program. That point is not even clear because some of their marketing materials reference residency, which is a different thing than citizenship," global mobility lawyer Parviz Malakouti told me in an interview.
Aside from the bitcoin investment options that El Salvador offers locally, such as bitcoin bonds, most American citizens looking for second citizenship and passports have cheaper options. For example, citizenship by investment programs in Dominica, St. Lucia, Grenada, Turkey, and even Malta are all under El Salvador's Freedom Visa price.
However, those who want to support El Salvador's transformation, Bukele's administration and leverage the Bitcoin-friendly regulatory environment now have a clear and improving path to make it.
Disclosure: I provide marketing services to Tether, one of the global businesses partnering with the El Salvadorian government on this program.
