IMF Pushes El Salvador to Strengthen Bitcoin Oversight and Regulations

The International Monetary Fund (IMF) has urged El Salvador to refine its bitcoin law by narrowing its scope, enhancing regulatory oversight, and limiting public sector involvement.

The IMF is actively working with the country to support economic reforms and ensure that bitcoin adoption does not jeopardize financial stability. During a press conference, IMF spokesperson Julie Kozack emphasized the importance of addressing the risks associated with bitcoin’s role in El Salvador’s economy since its legal adoption in 2021.

While the IMF acknowledged the positive steps in El Salvador’s proposed 2025 budget, it highlighted the need for effective implementation. Despite ongoing warnings, President Nayib Bukele’s administration remains committed to its bitcoin strategy, holding approximately 5,865 BTC valued at over $356 million as of 2024.

Clever Robot News Desk 8^th October 2024