Recently, a bill was proposed in the U.S. Senate aimed at investigating the use of bitcoin by the Salvadoran government. The legislation titled "El Salvador Accountability Act of 2025" (S. 2058) requires the Secretary of State to prepare a detailed report on the alleged use of cryptocurrencies for corrupt purposes and evasion of international sanctions.
Bill Essence
The El Salvador Accountability Act of 2025 mandates the U.S. Secretary of State to report on how the Salvadoran government uses bitcoin and cryptocurrencies in relation to corruption and sanctions.
Key Investigation Elements
The proposed report is expected to include the following key aspects:
* An estimate of how much bitcoin the Salvadoran government has purchased. * A list of exchanges used for these transactions. * Wallet addresses where bitcoin and other cryptocurrencies are stored. * Identification of individuals with access to these funds. * An assessment of potential corruption risks tied to the government's use of crypto. * An investigation into whether bitcoin is being used to bypass financial sanctions.
Context and International Attention
The bill was put forward by Senators Van Hollen, Kaine, and Padilla, marking a significant step in intensifying U.S. scrutiny over El Salvador's bitcoin strategy. This country became the first in the world to adopt bitcoin as legal tender in 2021, drawing international attention.
Thus, the initiative by U.S. senators highlights growing concerns about the transparency and security of cryptocurrency operations involving the Salvadoran government and may impact the future use of digital assets in the country.
