Crypto News, April 27: Two Big Bitcoin Milestones, But Price Plunges as Stock Market Wobbles

Central African Republic makes BTC legal tender πŸ‡¨πŸ‡«

A second country has adopted Bitcoin as legal tender. The Central African Republic has elevated the cryptocurrency to the same status as the CFA franc. It means Bitcoin can now be legally used for purchases. All of this comes eight months after El Salvador became the first country to make BTC an official currency. The Central African Republic is one of the world’s poorest countries β€” and just 11% of the population have access to the internet. In an interview with Bloomberg, Finance Minister Herve Ndoba said: “There’s a common narrative that sub-Saharan African countries are often one step behind when it comes to adapting to new technology. This time, we can actually say that our country is one step ahead.”

Tesla’s share price plunged by 12% on Tuesday as traders reacted with alarm to Elon Musk’s $44 billion purchase of Twitter. Tuesday’s bloodbath on Wall Street wiped $126 billion off the company’s valuation β€” and also caused Musk’s net worth to fall heavily. Investors are worried Musk might need to sell shares to finance his deal to buy the social network… and that it could distract him from his day job as Tesla’s CEO. Ed Moya, a senior market analyst at OANDA, has also warned that the billionaire might not have the financing to complete the Twitter acquisition if Tesla’s share price continues to fall. Although Tesla was certainly one of Wall Street’s worst performers on Tuesday, it wasn’t alone. The tech-heavy Nasdaq plunged to its lowest level since December 2020 after suffering its biggest one-day drop in over 18 months. Meanwhile, Bitcoin slid from $40,500 to $37,900 in the space of 12 hours.

Fort Worth in Texas has become the first city government in America to mine Bitcoin. Three S9 Bitcoin mining machines are going to operate 24 hours a day in a climate-controlled data center within City Hall. A six-month pilot program is going to take place, and the equipment has been donated by the Texas Blockchain Council. Fort Worth’s Mayor Mattie Parker officially turned on the machines during a ceremony on Tuesday. Officials in the city estimate that each Bitcoin mining machine will use the same amount of energy as a household vacuum cleaner β€” and it’s hoped this will be offset by the value of the BTC that’s generated. In other developments, New York State has announced that it is clamping down on Bitcoin miners who fail to use energy from sustainable sources.

Bitcoin use in El Salvador ‘has plunged’ πŸ‘€

A damning new report suggests use of the Chivo wallet has plummeted in El Salvador. The U.S. National Bureau for Economic Research notes there was a flurry of downloads after President Nayib Bukele said every Salvadoran citizen could claim $30 in free Bitcoin if they downloaded the app. But a survey of 1,800 households has revealed that just 40% of those who installed Chivo have continued to use it after spending their Bitcoin. The research also suggests that “virtually no downloads” of this app have taken place in 2022 β€” with a sizable number of Salvadorans reluctant to give Chivo a try because they prefer cash and don’t trust Bitcoin.

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