El Salvador’s Bitcoin Bet Faces Backlash Amid Economic Struggles and IMF Pressure
The post El Salvador’s Bitcoin Bet Faces Backlash Amid Economic Struggles and IMF Pressure appeared on BitcoinEthereumNews.com.
IMF deal compelled El Salvador to stop buying new Bitcoins, and the legal tender status ceased
Most of the citizens are doomed because of a lack of digital education and infrastructure
NGO cautions that Bitcoin favors the government more than the people, posing new issues on equity
The Bitcoin reserve of El Salvador, which has made international headlines, has not brought joy to the common people as the economy suffers. The crypto plan of the country, promoted as a major component of the economic agenda, has been dealt another blow following a compromise agreement of the International Monetary Fund (IMF) on the role of the state in the use of Bitcoin, with opponents citing increasing levels of inequality, lack of education, and unfulfilled promises. Government Strategy Sparks Global Attention, Local Discontent El Salvador’s president, Nayib B., and his administration have drawn international attention with their decision to recognize Bitcoin as legal tender. They argue that the 760 million reserve in the country will be used in social development projects on health, education, and infrastructure. Marketers propagated that through purchasing Bitcoin, individuals would cause the economy to be immune to inflation shocks and have a financial backstop. But one of the top managers of a non-governmental organization (NGO) has spoken up against this disparity between these aspirations and real outcomes. Amid the allegations of a digital revolution, the increased cost of living, poor internet coverage, and stagnant salary incomes have made the average citizen oblivious to the cryptocurrency bet. Source – X “Bitcoin is no longer a legal tender since the government signed this contract with the IMF, and we have not witnessed any other initiative to train citizens. Quentin Ehrenmann told Reuters that the government, seemingly, keeps on piling up Bitcoin, which is good on the…
Filed under: News - @ July 27, 2025 6:17 am