The IMF has again made it clear that it opposes El Salvador’s Bitcoin move. Speaking at a press conference yesterday, a spokesperson for the institution said that El Salvador should reduce its relationship with Bitcoin.

“We asked them to narrow the Bitcoin law”

Speaking on the subject, spokesperson Julie Kozack said, ‘We asked them to narrow the scale of the Bitcoin law. We also suggested that they increase regulations and control the Bitcoin ecosystem and restrict Bitcoin in public institutions.’

Following this statement, there was no response from President Bukele or the government of El Salvador.

The IMF had previously warned El Salvador, which made Bitcoin an official currency in 2021, about this issue. The institution claimed that Bitcoin would jeopardise the country’s financial stability and the economic structure would become more insecure.

However, developments in the last 3 years have always improved El Salvador’s financial structure. Last year, the government even announced that it would not borrow from organisations such as the IMF and aimed to reduce its external borrowing needs.

The government of El Salvador has been buying 1 BTC every day since November 2022.