El Salvador’s Bitcoin Moves Questioned by IMF — Bitcoin Hyper Rises With Confidence

The post El Salvador’s Bitcoin Moves Questioned by IMF — Bitcoin Hyper Rises With Confidence appeared on BitcoinEthereumNews.com. El Salvador freezes Bitcoin purchases under IMF deal, even as BTC hits new highs. Is this a tactical pause or a major shift in the nation’s crypto strategy? El Salvador, the first country to adopt Bitcoin as legal tender, has paused its $BTC buying spree – at least according to the IMF. That’s despite the country initially saying, back in December 2024, that it would continue buying Bitcoin despite the IMF’s ban. A recent IMF report showed that the Central American country hasn’t increased its Bitcoin reserves since signing a ‘non-accumulation’ agreement with the International Monetary Fund earlier this year. What led to El Salvador’s sudden change, and are they feeling (non) buyer’s remorse as Bitcoin reaches new highs? Time for a closer look. IMF Exerts Influence Thanks to $1.3B Loan The move is part of a broader economic reform package linked to a $1.3 billion Extended Fund Facility from the IMF. While the program aims to strengthen public finances and rebuild financial buffers, it also explicitly emphasizes reducing Bitcoin-related risks. Specifically, the agreement’s terms mandated that El Salvador to: Stop requiring merchants to accept Bitcoin payments (can still do so voluntarily) Cease additional purchases of Bitcoin for the national treasury Now, a few months in, the IMF is checking on the agreement to see if El Salvador – despite all the bluster – is fulfilling its obligations. There’s a strong incentive for the country to follow through: an additional $2B loan from the IMF could be offered afterward. In keeping with that agreement, El Salvador’s government has committed to keeping public sector Bitcoin holdings unchanged and plans to exit its stake in Chivo, the state-run Bitcoin wallet, by the end of July. These measures follow IMF recommendations to prevent increased exposure to crypto’s volatility and to strengthen oversight of…

Jul 22, 2025 - 09:00
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El Salvador’s Bitcoin Moves Questioned by IMF — Bitcoin Hyper Rises With Confidence

The post El Salvador’s Bitcoin Moves Questioned by IMF — Bitcoin Hyper Rises With Confidence appeared on BitcoinEthereumNews.com.

El Salvador freezes Bitcoin purchases under IMF deal, even as BTC hits new highs. Is this a tactical pause or a major shift in the nation’s crypto strategy? El Salvador, the first country to adopt Bitcoin as legal tender, has paused its $BTC buying spree – at least according to the IMF. That’s despite the country initially saying, back in December 2024, that it would continue buying Bitcoin despite the IMF’s ban. A recent IMF report showed that the Central American country hasn’t increased its Bitcoin reserves since signing a ‘non-accumulation’ agreement with the International Monetary Fund earlier this year. What led to El Salvador’s sudden change, and are they feeling (non) buyer’s remorse as Bitcoin reaches new highs? Time for a closer look. IMF Exerts Influence Thanks to $1.3B Loan The move is part of a broader economic reform package linked to a $1.3 billion Extended Fund Facility from the IMF. While the program aims to strengthen public finances and rebuild financial buffers, it also explicitly emphasizes reducing Bitcoin-related risks. Specifically, the agreement’s terms mandated that El Salvador to: Stop requiring merchants to accept Bitcoin payments (can still do so voluntarily) Cease additional purchases of Bitcoin for the national treasury Now, a few months in, the IMF is checking on the agreement to see if El Salvador – despite all the bluster – is fulfilling its obligations. There’s a strong incentive for the country to follow through: an additional $2B loan from the IMF could be offered afterward. In keeping with that agreement, El Salvador’s government has committed to keeping public sector Bitcoin holdings unchanged and plans to exit its stake in Chivo, the state-run Bitcoin wallet, by the end of July. These measures follow IMF recommendations to prevent increased exposure to crypto’s volatility and to strengthen oversight of…

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