New Bitcoin warning from the IMF: “Restrict and control”

The International Monetary Fund (IMF) has once again warned the Latin American country El Salvador about Bitcoin. The institution spokesperson said that despite being against Bitcoin, they will continue to work with El Salvador, but they suggested that the government reduce the connections of state institutions to Bitcoin.

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

“We asked them to narrow down the Bitcoin law”

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

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

The IMF had previously warned El Salvador, which made Bitcoin its official currency in 2021, about this issue. The institution claimed that Bitcoin would endanger the country's financial stability and make the economic structure even more insecure.

However, developments in the last 3 years have always advanced El Salvador's financial structure. In fact, the government announced last year that it would not borrow from institutions such as the IMF and aimed to reduce its external borrowing needs.

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