El Salvador Strikes $1.4 Billion IMF Deal After Scaling Back Bitcoin Policies (bbc.com) 15
El Salvador secured a $1.4 billion loan deal with the IMF after agreeing to scale back its bitcoin policies, making cryptocurrency acceptance voluntary for businesses and limiting public sector involvement. The deal aims to stabilize the country's economy, with bitcoin's recent rally boosting the value of El Salvador's holdings. The BBC reports: In 2021, El Salvador became the first country in the world to make bitcoin legal tender. This week, the cryptocurrency briefly hit a fresh record high of more than $108,000.
"The potential risks of the Bitcoin project will be diminished significantly in line with Fund policies," the IMF announcement said. "Legal reforms will make acceptance of Bitcoin by the private sector voluntary. For the public sector, engagement in Bitcoin-related economic activities and transactions in and purchases of Bitcoin will be confined." Last Friday, El Salvdaor purchased more than 11 BTC worth $1.07 million and executed another 11 BTC purchase on Sunday, according to crypto data platform Arkham. El Salvador's President, Nayib Bukele, is ramping up buys "with an interim goal of acquiring 20,000 more Bitcoin," reports the Daily Hodl.
"The potential risks of the Bitcoin project will be diminished significantly in line with Fund policies," the IMF announcement said. "Legal reforms will make acceptance of Bitcoin by the private sector voluntary. For the public sector, engagement in Bitcoin-related economic activities and transactions in and purchases of Bitcoin will be confined." Last Friday, El Salvdaor purchased more than 11 BTC worth $1.07 million and executed another 11 BTC purchase on Sunday, according to crypto data platform Arkham. El Salvador's President, Nayib Bukele, is ramping up buys "with an interim goal of acquiring 20,000 more Bitcoin," reports the Daily Hodl.
Good deal (Score:3)
Loan me a billion or so to "invest" in Bitcoin. If it goes up I will pay you back out of the profits, if not... oh well not my problem.
Re: (Score:2)
Re: (Score:2)
Buy now, when the price is at an all-time high.
What could go wrong?
Re: (Score:2)
Re: Banks seem to be starting to fight back... (Score:1)
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Bribery (Score:2, Insightful)
Here, have $1.4 billion to not use Bitcoin as much. What a joke.
I smell bullsh*t (Score:1)
The IMF is involved due to the destabilizing impact of bitcoin, nothing more. This was a huge risk for El Salvador, who is rightfully tired of external dependency -- and it was a success. If other countries were to follow suit, this would be devastating to the controlled world economy -- namely the US Dollar. I believe this is fully the issue and less to do with mitigating "risk" with bitcoin. I think there's a lot of bullsh*t here -- and I'd love to know what took place in THOSE discussions to get El
Stupid to use Bitcoin for a reserve (Score:3)