El Salvador purchased about $21 million worth of Bitcoin on Monday. The crypto purchase comes as a new law, passed in June, took effect Tuesday, allowing residents to use the cryptocurrency as legal tender.
Salvadorans can now also use their national IDs to sign up for a new cryptocurrency wallet app called Chivo which comes with $30 worth of Bitcoin as part of a government effort to drive adoption of the currency.
President Nayib Bukele announced the country's 400-Bitcoin purchase -- worth $20.9 million -- in a series of tweets Monday.
The first country to adopt Bitcoin as a national legal tender, El Salvador is just one among several political entities that have made recent moves toward wider legal cryptocurrency adoption. Cities and municipalities in Canada, Switzerland, China and the US have also embraced digital cash through a range of limited legal payment options and pilot projects.