#MarketCorrectionBuyOrHODL El Salvador scales back bitcoin efforts under $1.4 billion deal with IMF

Under the deal, El Salvador will make bitcoin acceptance voluntary for the private sector while restricting public sector involvement. After four years of negotiations, El Salvador struck a $1.4 billion loan agreement with the International Monetary Fund on Wednesday. But the deal may not be as rosy as it sounds.

The terms of the agreement indicate that if approved, El Salvador will have to scale back certain aspects of its bitcoin strategy, according to a statement from the intergovernmental organization.

Early details of the deal were revealed earlier this month, with sources previously telling Decrypt that the plan focuses on “supporting macroeconomic adjustment and structural reforms.”

Under the new agreement, El Salvador will make bitcoin acceptance voluntary for the private sector and restrict public sector involvement in cryptocurrency activities. The government will also gradually reduce its role in the Chivo digital wallet program$ETH $BTC $XRP