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El Salvador abandons Bitcoin as legal tender

(ticotimes.net)
927 points smallerfish | 1 comments | 04 Feb 25 00:00 UTC | HN request time: 0s | source
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portaouflop ◴[04 Feb 25 02:07 UTC] No.42926658[source]▶
IMF gave them 1.4 billion to abandon the “experiment”:

> The IMF made this a condition for a loan of 1.4 billion US dollars (1.35 billion euros). In December of last year, the IMF reached an agreement with President Nayib Bukele’s government on the loan of the stated amount to strengthen the country’s “fiscal sustainability” and mitigate the “risks associated with Bitcoin,” as it was described.

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I dislike cryptocurrencies as much as the next guy but this was clearly something else than a failure of the currency itself

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awnird ◴[04 Feb 25 02:15 UTC] No.42926752[source]▶
If bitcoin was such a success then why did they need an enormous loan?
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ToValueFunfetti ◴[04 Feb 25 02:19 UTC] No.42926794[source]▶
If the USD was such a good currency, why does the US operate at a deficit?
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Arainach ◴[04 Feb 25 02:24 UTC] No.42926868{3}[source]▶
A deficit is not a loan. The USD and the historical strength and faith on the US allowed the US to offer its own securities, not ones pwned by and with terms dictated by external entities.
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1. whimsicalism ◴[04 Feb 25 03:33 UTC] No.42927517{4}[source]▶
the US borrows money. sure it can monetize its own debt at any time but that would have its own set of very high costs