IMF - Demands Changes to El Salvador's Law on Bitcoin
Information obtained by Infobae claims that El Salvador's efforts to obtain a $1.4 billion credit line are being impeded by demands made by the International Monetary Fund (IMF) to amend the country's pro-Bitcoin legislation.
History was made by El Salvador when they adopted Bitcoin as a legal tender in 2021 under president Nayeb Bukele.
However, amid loan negotiations with El Salvador, IMF has has objected to the country's Bitcoin law. For almost two years, discussions have been stuck over the IMF's demands to restrict the use of Bitcoin in the nation.
Julie Kozak, communications director at IMF shared on last Thursday the "risks" of Bitcoin remain an important issue in discussions with the country.
The financial integrity and stability concerns about the leading crypto are previously being cited by the IMF.
The fund's resistance reveals a conflict about the direction of payments and money. The IMF is still concerned about Bitcoin's volatility and decentralized structure, seeing it as a challenge to their power even if Bukele views it as an innovative solution to promote financial inclusion.
El Salvador has stood strong on its bitcoin commitment, inspite of the pressures. El Salvador has invested $150 million in Bitcoin reserves buying more continually. The president Bukele also pledged to buy one Bitcoin daily.
The International Monetary Fund is pushing its influence over poorer nations but President Bukele doesn't look to be backing down on Bitcoin.
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Greetings @haveyoursay ,
Very much appreciate your keeping Hivians up to date regarding ElSalvador's Bitcoin investment and the world's reaction.....makes one wonder what influx of business they have had since their adoption of BTC in such a big way.
Cheers!