Even though El Salvador had agreed to scale back its Bitcoin activity in exchange for a $1.4 billion loan from the International Monetary Fund, El Salvador is still buying Bitcoins, according to the country’s economy minister.
El Salvador Defies IMF With Its Bitcoin Hodling Moves?
Speaking at the Web Summit in Rio de Janeiro, Minister María Luisa Hayem confirmed that the government remains committed to accumulating Bitcoin, something that is President Nayib Bukele’s long-held position on the cryptocurrency. “There’s a commitment of President Bukele to keep accumulating assets,” she said.
Under the terms of the IMF deal struck late last year, the Salvadoran government had promised to rein in Bitcoin purchases and improve fiscal measures. The agreement was viewed as a key step in restoring confidence among investors wary of Bukele’s unorthodox financial policies.
But recent posts from the country’s official Bitcoin Office suggest that purchases have continued, directly challenging the decision of the IMF arrangement. Hayem reinforced that view, stating that Bitcoin “keeps being an important project” and remains a priority both for the government and the private sector.
El Salvador made global headlines in 2021 by becoming the first country to adopt Bitcoin as legal tender, a move that garnered praise from crypto circles but triggered criticism from traditional financial institutions and led to a series of credit downgrades.
As for its holdings, El Salvador currently holds 6.162K Bitcoin which is valued at $582.02 million.
The country was also making headlines recently with its move to include Bitcoin education for its schoolchildren- a power move that highlights El Salvador’s adoption of Bitcoin at grassroot level.
The country’s Ministry of Education and Bitcoin Office partnered with Lina Seiche’s The Little HODLer project, and launched a financial literacy program for schoolchildren (7-13 years old)
“What Is Money?”, is a programme with an objective to introduce young Salvadorans to fundamental financial literacy and concepts, such as Bitcoin, at an early stage in their lives.
Also Read: Arizona Legislature Moves its Bitcoin Reserve Bill for Governor’s Approval
