Bitcoin policy shift in El Salvador leaves citizens behind, says NGO

     

IMF deal ends legal tender status, cuts public education efforts on BTC

El Salvador’s Bitcoin initiative is failing to benefit everyday citizens, with recent IMF-imposed policy changes further distancing the public from the country’s crypto ambitions, according to Quentin Ehrenmann, general manager of the NGO My First Bitcoin.

Speaking to Reuters, Ehrenmann said the removal of Bitcoin’s legal tender status under the IMF agreement has stalled state-backed education and adoption efforts.

“Since the government entered into this contract with the IMF, Bitcoin is no longer legal tender, and we haven’t seen any other effort to educate people. The government, apparently, continues to accumulate Bitcoin, which is beneficial for the government – it’s not directly good for the people,” he said.

While the government claims to be buying Bitcoin daily, a recent IMF report contradicts this, confirming that no new BTC purchases are allowed under the loan terms.

In January, lawmakers scaled back public sector involvement in Bitcoin to comply with IMF conditions – raising new questions over whether the nation’s bold crypto experiment has lost its way.