IMF pushes El Salvador to halt Bitcoin purchases
This move could put President Nayib Bukele’s pro-Bitcoin agenda in a tough spot.
A new policy document outlines how the government must limit BTC accumulation. The document states that public sector entities cannot voluntarily purchase or mine Bitcoin. This restriction applies to government-controlled wallets like Chivo and institutions. Such as the “Agencia Administradora de Bitcoin and Oficina Nacional del Bitcoin”. However, BTC obtained through law enforcement actions, such as seizures, would not count toward this restriction.
The IMF has long been skeptical of El Salvador’s BTC adoption. It fears that issuing Bitcoin-backed debt or tokens could rock the boat in an already volatile market. The IMF argues that such moves could create financial instability and increase the country’s debt risks.
Previously, El Salvador planned to issue BTC bonds—also called “volcano bonds”—to fund infrastructure and energy projects. But with the IMF’s conditions, these plans could be on thin ice. The government may now have to rethink its Bitcoin strategy if it wants the loan approval.
Mexican billionaire Ricardo Salinas, with a net worth of $5.8 billion, is making a bold bet on BTC. He has allocated 70% of his investment portfolio to the cryptocurrency, showing strong confidence in its future.
Salinas, a longtime BTC advocate, believes it offers protection against inflation and government control over money. His heavy investment signals a growing trend among wealthy individuals who see BTC as a hedge against economic uncertainty.
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 the accepted risk tolerance levels of the writer/reviewers, and their risk tolerance may be different than yours. We are not responsible for any losses you may incur due to 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.
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JUST IN: The IMF is seeking to block 🇸🇻 El Salvador from buying more Bitcoin and refrain from issuing Bitcoin-backed debt or tokens as a condition of its 💵 $1.4B loan agreement.
Billionaire Ricardo Salinas Pliego says Mexican President Claudia Sheinbaum is facing a "very challenging situation" with US President Donald Trump trib.al/tYdbKhl
