IMF‌ warns El Salvador legalizing Bitcoin; states illegal

IMF‌ warns El Salvador legalizing Bitcoin; states illegal

The International Monetary Fund (IMF) has strongly opposed the cryptocurrency bitcoin from the beginning. It also threatens to hurt the financial and market integrity of the crypto consumer. The IMF has issued a stern warning to El Salvador, a Central American country that is moving aggressively at the moment.
It warned once again that it was not right to legalize bitcoin and that the decision should be reversed. In September of last year, El Salvador became the first country in the world to recognize bitcoin as the official currency. However, the IMF has previously ruled that the decision was invalid.
Still undecided, El Salvador’s President Naib Bukele, 40, is adamantly pushing ahead with aggressive decisions. It warned that the country was likely to suffer huge financial losses in the future, with cryptocurrencies becoming the main obstacle to borrowing from the International Monetary Fund (IMF). Bitcoin is currently the official currency of El Salvador along with the US dollar (since 2001). However, financial experts have long warned El Salvador that the legalization of cryptocurrency could have serious consequences and that it should be held accountable.

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IMF‌ warns El Salvador legalizing Bitcoin; states illegal

In a statement issued for El Salvador, the IMF also mentioned a number of key issues. Recognizing the importance of increasing financial inclusion, the IMF believes that digital payment methods such as the Chivo e-wallet can play this role. However, the IMF has made key suggestions to the financial authorities of several countries that the bitcoin affair is the opposite and should focus on ways to deregulate it.
The value of the bitcoin in the US market continues to be $ 37,000 based on developments in the digital market on Wednesday. According to market value, Bitcoin continues to be the most valuable digital currency in the world. But, the value has dropped by 50 percent now compared to last November. Bitcoin value hits $ 69,000 all-time high in 2021 Subsequent developments have prevented Bitcoin from rebounding.

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