One of the events that marked 2021 was El Salvador’s Bitcoin $98,523.4It was to accept ‘ as currency. In those days, this was extremely exciting because it was the first time a country recognized BTC as its currency. Now, with BTC ETFs traded on US exchanges, cryptocurrencies have gained significant legitimacy. So, is El Salvador getting ready for sale?
El Salvador and Bitcoin
El Salvador, which made its last purchase in November 2022, has reserves of 6,181 BTC. The value of the BTC reserve held by the government is worth 559.5 million dollars. El Salvador has earned nearly $168 million from its BTC purchase to date, an increase of 119%.
But the latest news is not so good. of the country IMF It was known that it was trying to reach a cash agreement with the IMF, but the IMF announced many times that El Salvador’s stance on BTC was a significant obstacle to the agreements. The institution clearly stated that BTC reserves could have serious negative consequences on weak economies.
Now El SalvadorIt is said that he may take some steps for the 1.3 billion dollar IMF agreement. The country, which plans to reach an agreement on a $1.3 billion loan program with the IMF in the next 2-3 weeks, may in return stop recognizing BTC as legal tender. Although the nature of the step back is not clearly explained, it is said that the requirement for businesses to accept BTC may be made voluntary. Details will probably become clear within this week.
of El Salvador BTC Although it is not yet clear whether it will sell its reserves or not, the sale of 559.5 million dollars may not have a major negative consequence in the markets where we saw billions of dollars of inflow last week.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
