Turkish company Yilport Holdings has committed a $1.6 billion investment to upgrade two important ports. This is the largest private investment ever made in El Salvador’s history and could significantly impact the long-awaited Bitcoin City project.
President Nayib Bukele shared the news in a video on his X account, revealing that Yilport Holdings and El Salvador’s Comisión Ejecutiva Portuaria Autónoma (CEPA) will collaborate in a joint venture to operate and upgrade the Acajutla and La Unión ports over the next 50 years.
Moreover, the La Unión port, which is expected to be part of the Bitcoin City project, has faced many delays since construction started in 2005. However, Bukele’s announcement brings new hope to the project. The Bitcoin City, introduced in 2021, is designed to be a city that runs entirely on Bitcoin and is free from most taxes except value-added tax.
The National Bitcoin Commission Office has linked the port improvements to the Bitcoin City project. Max Keiser, a Bitcoin adviser to Bukele, emphasized the importance of the investment, and Bitcoin Office director Stacy Herbert praised the president’s efforts to revive old projects.
Initially, Bitcoin City was expected to be funded through a $1 billion Bitcoin bond, known as the Volcano Bond, intended to be backed by geothermal energy from El Salvador’s volcanoes.
Although the bond faced delays, the new investment from Yilport and CEPA is expected to advance the project. Dredging and equipment purchases for La Unión port are anticipated to begin by the end of the year, bringing the vision of Bitcoin City closer to realization.
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