The International Monetary Fund (IMF) has once again called on El Salvador to scale back its Bitcoin policy and reform the regulatory framework for digital assets in a press release on Oct. 3, Cointelegraph reported.
Julie Kozack, director of the IMF’s communications department, said the proposals call for narrowing the scope of Bitcoin laws, strengthening regulatory frameworks and oversight of the Bitcoin ecosystem, and limiting public sector exposure to Bitcoin.
Since El Salvador legalized Bitcoin in 2021, the IMF has been pressuring the country to abandon Bitcoin and turn to traditional financial infrastructure. The IMF acknowledges that many risks of Bitcoin adoption have not yet been realized.
The IMF has publicly opposed Bitcoin and cryptocurrencies and has suggested taxing energy usage in crypto mining to reduce carbon emissions, while also promoting the development of central bank digital currencies (CBDCs) around the world.
