The International Monetary Fund (IMF) is now urging El Salvador to remove Bitcoin as one of its legal tender. In addition to that, the IMF is also calling for strict regulations when it comes to the country's e-wallet.
IMF Urges El Salvador to Remove Bitcoin as Its Legal Tender
As seen on a report by Reuters, the IMF board members are urging the authorities in El Salvador to actually narrow the scope of the Bitcoin law by removing its legal tender status in the country.
Bitcoin initially became a legal tender in the country back in June 2021. This is a move that sparked a number of protests all across the country in September.
According to the story by CNET, when Bitcoin was initially launched as legal tender, El Salvadorans were then able to use their own national IDs in order to sign up for a cryptocurrency wallet called Chivo. Upon signing up, they would then be given $30 worth of Bitcoin as a drive made by the government to help the locals adopt the cryptocurrency.
Salvadorans have Mixed Thoughts Regarding Price Volatility of BTC
Per the CNET report, the IMF did not immediately respond to a request for comment but directly urged the authorities to narrow the scope of the country's Bitcoin law by officially removing Bitcoin's legal tender status. This statement was given by the IMF during a consultation made regarding the country's finances.
As of press time, the people of El Salvador seem to have mixed feeling regarding the use of Bitcoin as its legal tender maiinly because of the votality in price of the cryptocurrency. There has, however, been some good uses for Bitcoin as the company was even able to build infrastructure in the country due to its adaptation.
El Salvador Posed to Build a $4 Million Veterinary Hospital
According to an article by CoinTelegraph, El Salvador was posed to build a $4 million veterinary hospital through their profits they got from the country's Bitcoin trust. In addition to that, the country's president, Nayib Bukele, said that no Bitcoin will be sold in order to fund the investment.
The funding for the veterinary hospital came from the state drawing USD from this Bitcoin trust instead of selling its BTC hodlings. As of the press time of the article, which is dated October 11, 2021, it has noted that the country held $4 million worth of profits due to its Bitcoin adaptation during that time.
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Criticism Regarding President Bukele's Veterinary Hospital
The news of the veterinary hospital, however, received mixed reactions on Twitter. Many El Salvadorans have even suggested other uses for the country's recent crypto profits.
A rough translation of a certain tweet by the account Norma De Serrano noted that it would be better if the money was invested in improving the currently existing medical facilities all across the country.
In addition, Serrano even gave emphasis that a lot of hospitals and health units in the country still need to be improved. Many commenters have also expressed similar concerns regarding the country's use of their BTC profits at that time.
Mejor deberian invertir en los hospitales y unidades de salud que necesitan mejorarse
— Norma De Serrano (@nemense2010) October 10, 2021
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This article is owned by Tech Times
Written by Urian B.
