It seems that El Salvador has stopped with their daily $BTC buying. The reason may be a $1.4 billion loan from the IMF.
The International Monetary Fund (IMF) was skeptic from day one about this plan. Now it seems that El Salvador has stopped with their daily $BTC buying. So, this begs the question, what is going on? Let’s take a closer look.
It seems that El Salvador stopped buying its daily $BTC. The very reason for this could well be the IMF. In December 2024, El Salvador and the IMF reached a staff-level agreement. This agreement involves a $1.4 billion loan from the IMF to El Salvador.
Source: IMF
However, the kicker is, that the country should wind down its Bitcoin activities. The IMF sees Bitcoin as an unstable asset. So, it seems that Bukele could keep his country for a long time out of the IMF’s hands. Nonetheless, it seems that he finally succumbed to the IMF.
But what does El Salvador get in return, besides the money? The idea is to give an impulse to El Salvador’s economy. So, this is part of the loan:
However, keep in mind that the loan still needs approval from the IMF’s executive board. Nonetheless, El Salvador managed to build up a 6,000 $BTC reserve. That’s currently worth $600 million. And there’s no selling pressure.
To sum up, it seems that El Salvador’s Bitcoin adventure may have come to a halt. However, it doesn’t mean that the Bitcoin experiment is out of the window. El Salvador may have opened quite a few eyes by what they did and achieved. Now bigger countries are considering Strategic Bitcoin Reserves.
The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment and informational purposes only. Any information or strategies are thoughts and opinions relevant to accepted levels of risk tolerance of the writer/reviewers, and their risk tolerance may be different from yours.
We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments, so please do your due diligence.
Copyright Altcoin Buzz Pte Ltd.
XRP trades near $1.35 ahead of the September 15 CLARITY Act Senate vote. A successful procedural vote could boost sentiment, while failure could put $1.30 support at risk.
XRP
Chainlink (LINK) trading volume has jumped 65% in 24 hours as the token attempts to reclaim $12. Rising activity could set up another move toward $13.50.
LINK
U.S. spot Bitcoin ETFs recorded $462.7 million in weekly outflows, while Ether ETFs attracted nearly $197 million as institutional demand shifted between the two assets.
BTC
ETHI'll explain why it's kinda sad: ➡️They stopped buying BTC because they finalize a loan agreement with the International Monetary Fund (which are the ultimate global money lenders). ➡️El Salvador received a $1.4 billion loan from the IMF but in exchange they had to stop aping Show more
