President of El Salvador Nayib Bukele received praises from the crypto world the previous year when he vowed to create a tax-free Bitcoin city on the nation’s coast, complete with geothermal energy for mining digital coins from a volcano in the near vicinity.

To finance it, Bukele said a crowd of onlookers, the government would raise $1 billion through the world’s first sovereign blockchain bond, with a meager investment of only $100. 4 months on, the crypto enthusiasts are still anticipating their chance at the snack-size binds that will aid create the ‘Singapore of Latin America.’

Lacking support from multilateral lenders and with its global bonds trading near all-time lows, Nayib’s administration has approached crypto markets for funding. If all goes as per the plan, the so-called volcano bond would raise $500 million for infrastructure in Bitcoin city and another $500 million to purchase BTC, with any appreciation in the virtual currency ultimately shared with bondholders. A successful bond sale on the blockchain could open doors to the government – the first to accept BTC as a legal tender – for futures issuance using alike instruments in non-traditional financial markets and also encourage other countries to do the same.

Under the initial proposal, the bond would be issued as a tokenized security using Blockstream’s Liquid Network and would pay 6.5% per year over a decade. It would trade on Bitfinex, a crypto exchange, which would serve as the bookrunner. Half of the proceeds would be used to purchase BTC and enter a five-year lock-up. Post that interval, the government would purchase its BTC until it recovers its initial investment, then share half of any extra earnings with investors.