El Salvador's Congress, led by President Nayib Bukele, has approved a reform to its Bitcoin law, aligning with the terms of an IMF-backed loan. The new law states businesses are not required to accept Bitcoin as payment.
Bitcoin Reform Aligns with IMF Loan Agreement
The new amendment to El Salvador’s Bitcoin law, passed by Congress, clarifies that businesses are not obliged to accept Bitcoin, aligning with the IMF's recommendation to reduce exposure to cryptocurrency risks. Elisa Rosales from the New Ideas Party confirmed that the revised law ensures Bitcoin's legal status through improved practical usage. The reform received widespread support, passing with 55 votes in favor and only two against.
Bukele Responds to Bitcoin Critic’s Sentencing
President Nayib Bukele commented on the sentencing of former U.S. Senator Bob Menendez, who was convicted of receiving bribes in cash and gold. Menendez had previously criticized Bitcoin adoption in El Salvador, linking it to corruption. Bukele noted that Menendez’s actions undermined trust in the crypto initiatives, but his government continues to enhance its crypto-friendly infrastructure.
Continuing El Salvador's Crypto Strategy
Despite the regulatory changes prompted by the IMF deal, El Salvador's government remains committed to its crypto strategy by accumulating Bitcoin and developing cryptocurrency infrastructure. Bukele plans to implement Bitcoin bonds, maintaining the country's status as a pioneer in adopting Bitcoin as legal tender. Examples from companies and other countries adopting similar strategies indicate growing global confidence in cryptocurrency.
While the IMF deal introduces regulatory adjustments, El Salvador remains committed to its role as an innovator in the international crypto landscape.
