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Investing.com – It was already known that the IMF took a dim view of El Salvador’s decision to make gold legal tender in the country, but the Fund once again voiced its opinion yesterday, urging the country to give up his crypto background.
In a statement released yesterday, IMF directors “stressed that there are significant risks associated with the use of bitcoins on financial stability, financial integrity, and consumer protection, as well as associated contingent fiscal liabilities. .”
The report goes on to “urge” authorities to reduce the scope of its bitcoin law by removing bitcoin’s legal tender status, which went into effect in September 2021, making El Salvador the first country in the world to adopt. cryptocurrency as legal tender.
The IMF report goes on to say that some directors of the Fund have expressed concerns about the risks associated with issuing bonds backed by bitcoins.
El Salvador’s President Nayib Bukele, who is very active on Twitter (NYSE:), was quick to react with a tweet showing how these statements go in one ear to out the other:
El Salvador has also launched a crypto wallet called Chivo, which offers fee-free transactions and enables fast cross-border payments.
On this subject, the directors of the IMF displayed a less clear-cut opinion, believing that the electronic wallet Chivo could facilitate digital means of payment, thus helping to “stimulate financial inclusion”, while underlining the need for a “strict regulation and supervision”.
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