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El Salvador abandons Bitcoin as legal tender

(ticotimes.net)
927 points smallerfish | 2 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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dragonwriter ◴[04 Feb 25 04:41 UTC] No.42928058[source]▶
If you need to go to the IMF for a loan of ~3% of your GDP to mitigate the risks associated with Bitcoin, well, that's a pretty good sign that adopting Bitcoin as legal tender was a pretty disastrous failure.
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golergka ◴[04 Feb 25 04:46 UTC] No.42928091[source]▶
> to mitigate the risks associated with Bitcoin

Was that the goal of the loan? How did you come to this conclusion?

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dragonwriter ◴[04 Feb 25 04:49 UTC] No.42928111[source]▶
Its literally stated. in those words, in the upthread excerpt that describes them receiving the loan.
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1. golergka ◴[04 Feb 25 04:54 UTC] No.42928156[source]▶
1. That's what stated by the IMF, and so far I don't see any reason to believe it's true.

2. That statement refers to government holding bitcoin as reserves. Which has little relation to use of Bitcoin in the country as legal tender.

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2. whoknowsidont ◴[04 Feb 25 05:47 UTC] No.42928522[source]▶
>and so far I don't see any reason to believe it's true.

Yeah I guess bitcoin is only allowed to go UP everything negative is always false! There's no way that virtual beanie-babies couldn't overcome the evil IMF!

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