Bitcoin records over 13% surge after El Salvador passes law to adopt it as legal tender

After jump, the cryptocurrency was traded above $37,000 before settling lower at $36,435.96 at about 4:48am ET, according to CoinDesk data.

On Wednesday, lawmakers in the Central American country passed a law that made bitcoin legal tender. Among other things, it means prices can now be shown in bitcoin and tax contributions can be paid with the digital currency.

Bitcoin proponents, who have long seen the digital coin as a viable alternative to fiat currencies, welcomed El Salvador’s moves.

The country has struck a partnership with digital wallet company Strike, to build the country’s modern financial infrastructure using bitcoin technology.

Other cryptocurrencies got a lift as well, and ether and XRP were both trading higher.

Bitcoin is still significantly off of its record high of $64,829.14 that was hit in April.