El Salvador has postponed the issue of $1 billion worth of Bitcoin BTC/USD backed bonds.
According to a report from Reuters on Wednesday, the government opted to postpone the bond offering because prevailing market conditions are unfavorable.
“I think this is not the time. There are some moves on the planet,” said El Salvador’s finance minister Alejandro Zelaya in an interview with a local television channel.
The bonds were originally supposed to be issued between March 15 and March 20, and some of the proceeds from the sale were meant to fund a “Bitcoin City” along the Gulf of Fonseca.
According to Zelaya, the bond issue could be postponed to as late as September based on the market’s direction.
“In May or June, the market variants are a little different. At the latest in September. After September, if you go out to the international market, it is difficult (to raise capital),” he was reported to have said.
In September 2021, El Salvador became the first country to officially adopt Bitcoin as legal tender. The nation has acquired 1,801 BTC using public funds and is down more than 20% on its investment.