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The Daily Hodl 2025-01-31 19:45:14

El Salvador Passes New Bitcoin (BTC) Legislation Tied to New IMF $1,400,000,000 Funding Deal: Report

El Salvador Passes New Bitcoin (BTC) Legislation Tied to New IMF $1,400,000,000 Funding Deal: Report

The first country to use Bitcoin ( BTC ) as a legal tender has reportedly passed a new law that will scale back its crypto efforts. Reuters reports that on Wednesday, lawmakers in El Salvador approved a bill to amend the nation’s Bitcoin law in compliance with a deal that the government struck with the International Monetary Fund (IMF). In December, the government of El Salvador and a staff team from the IMF reached a deal for a $1.4 billion loan facility after agreeing that the Central American nation would allow businesses to decide whether they want to accept cryptocurrency payments. El Salvador intends to use the fund to support economic reforms. The IMF says the arrangement under the Extended Fund Facility (EFF) will mitigate the country’s Bitcoin-related risks. “The potential risks of the Bitcoin project will be diminished significantly in line with Fund policies. Legal reforms will make acceptance of Bitcoin by the private sector voluntary. For the public sector, engagement in Bitcoin-related economic activities and transactions in and purchases of Bitcoin will be confined.” El Salvador’s congress, which is dominated by President Nayib Bukele’s New Ideas Party, approved the reform with 55 votes in favor and two against. The agreement is still subject to the approval of the IMF Executive Board and conditioned on EL Salvador’s fulfillment of the terms. Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Follow us on X , Facebook and Telegram Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post El Salvador Passes New Bitcoin (BTC) Legislation Tied to New IMF $1,400,000,000 Funding Deal: Report appeared first on The Daily Hodl .

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