IMF Urges El Salvador Again to Strengthen Regulatory Framework and Oversight of Bitcoin
Summary
The IMF recommends El Salvador narrow the scope of its bitcoin law and strengthen regulatory oversight of the bitcoin ecosystem. It advises limiting public sector exposure to bitcoin, citing potential fiscal and financial stability risks. The IMF has consistently urged El Salvador to enhance transparency and regulation since bitcoin became legal tender in September 2021. El Salvador holds 5892 BTC, valued at approximately $345 million. President Nayib Bukele claims the bitcoin initiative has been positive but acknowledges adoption has not met expectations. The IMF commends Bukele's 2025 budget plan, which aims for the country to be debt-free.
