Stacy Herbert, the country’s national Bitcoin office director, confirmed that Bitcoin will remain legal tender, contradicting IMF expectations that planned reforms would make private sector acceptance voluntary.
🇸🇻EL SALVADOR SECURES $3.5 FUNDING DEAL
➡️Bitcoin remains legal tender
➡️El Salvador will continue buying bitcoin (at possibly an accelerated pace) for its Strategic Bitcoin Reserve
➡️Bitcoin capital markets will continue to be built; for example, the recent tokenized issuance…— Stacy Herbert 🇸🇻🚀 (@stacyherbert) December 19, 2024
The government currently holds 5,968 bitcoins, valued at US$594 million.
The stance follows Wednesday’s IMF deal, which specified that tax payments must be made in US dollars. IMF spokesperson Julie Kozack indicated that upcoming legal reforms would make Bitcoin acceptance optional for businesses.
Market analysts suggest El Salvador’s defiant announcement may aim to counter perceptions of Bitcoin’s diminished status in the country.
The cryptocurrency’s value has surged recently after US President-elect Trump’s proposal for a strategic Bitcoin reserve.
El Salvador’s stance highlights ongoing tensions between traditional financial institutions and cryptocurrency adoption, particularly as the country continues promoting Bitcoin initiatives.
Related — President Nayib Bukele flexes El Salvador’s US$362 million Bitcoin gain
Disclaimer: The content on this website is for informational purposes only and does not constitute financial, investment, or legal advice. Always consult a qualified professional before making financial decisions.
