{"id":272218,"date":"2021-06-11T18:30:00","date_gmt":"2021-06-11T15:30:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/el-salvadors-bitcoin-adoption-may-jeopardize-imf-negotiations-jpmorgan\/"},"modified":"2021-06-11T18:30:00","modified_gmt":"2021-06-11T15:30:00","slug":"el-salvadors-bitcoin-adoption-may-jeopardize-imf-negotiations-jpmorgan","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/el-salvadors-bitcoin-adoption-may-jeopardize-imf-negotiations-jpmorgan\/","title":{"rendered":"# El Salvador&#8217;s Bitcoin adoption may jeopardize IMF negotiations: JPMorgan"},"content":{"rendered":"<p>&#8220;<strong># El Salvador&#8217;s Bitcoin adoption may jeopardize IMF negotiations: JPMorgan <\/strong>&#8221;<br \/>\n<img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDYvNGVkNTg5MzktODc5Zi00ZDQ3LWJmNWYtZWI1YzE0OTc2YmEwLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-5a136f3a>JPMorgan is the latest source to respond to El Salvador\u2019s decision to adopt Bitcoin (BTC) as legal currency within the country.<\/p>\n<p>In a client note <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/DocumentingBTC\/status\/1403351711352250374\">tweeted<\/a> by @DocumentingBTC, the United States banking giant stated that there was little economic benefit to El Salvador adopting BTC as a parallel legal tender to the U.S. dollar.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">JP Morgan on El Salvador adopting <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/hashtag\/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw\">#Bitcoin<\/a><\/p>\n<p>Notice the last line&#8230; <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/5hl0kR9WB0\">pic.twitter.com\/5hl0kR9WB0<\/a><\/p>\n<p>\u2014 Documenting Bitcoin  (@DocumentingBTC) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/DocumentingBTC\/status\/1403351711352250374?ref_src=twsrc%5Etfw\">June 11, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>On Thursday, El Salvador\u2019s parliament passed a historic bill to recognize Bitcoin as legal tender. The \u201cBitcoin Law\u201d bill passed by an overwhelming majority of 62 out of 84 votes.<\/p>\n<p>Commenting on the move, the JPMorgan client note stated:<\/p>\n<blockquote><p>\u201cAs with the dollarization in the early-2000s, this move does not seem motivated by stability concerns, but rather is growth-oriented [\u2026] But it is difficult to see any tangible economic benefits associated with adopting Bitcoin as a second form of legal tender, and it may imperil negotiations with the IMF.\u201d<\/p><\/blockquote>\n<p>Facing a potential $3.2 billion budget deficit in 2021, El Salvador is reportedly in talks with the International Monetary Fund for a $1 billion funding program. <\/p>\n<p>Given the IMF\u2019s role in providing access to external credit for nations like El Salvador, JPMorgan\u2019s comments echo similar sentiments espoused by other market commentators as to the potential implications of the BTC adoption move.<\/p>\n<p>Indeed, the IMF itself has raised issues the development by stating that El Salvador adopting Bitcoin as legal tender poses significant legal and financial ramifications.<\/p>\n<p><em><strong>Related: IMF plans to meet with El Salvador\u2019s president, potentially discussing move to adopt Bitcoin<\/strong><\/em><\/p>\n<p>Earlier on Friday, Beno\u00eet C\u0153ur\u00e9, the head of the innovation hub at the Bank for International Settlements called El Salvador\u2019s actions an \u201cinteresting experiment.\u201d C\u0153ur\u00e9, a noted Bitcoin critic once called BTC the \u201cevil spawn\u201d of the 2008 global financial crisis.<\/p>\n<p>Meanwhile, on Thursday, the Basel Committee on Banking Supervision classified Bitcoin in its highest risk category advising banks to hold $1 capital for every $1 worth of Bitcoin held in custody.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/el-salvador-s-bitcoin-adoption-may-jeopardize-imf-negotiations-jpmorgan\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# El Salvador&#8217;s Bitcoin adoption may jeopardize IMF negotiations: JPMorgan &#8221; JPMorgan is the latest source to respond to El Salvador\u2019s decision to adopt Bitcoin (BTC) as legal currency within the country. In a client note tweeted by @DocumentingBTC, the United States banking giant stated that there was little economic benefit to El Salvador adopting&#8230;<\/p>\n","protected":false},"author":1,"featured_media":272219,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDYvNGVkNTg5MzktODc5Zi00ZDQ3LWJmNWYtZWI1YzE0OTc2YmEwLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,75606,75802,74355],"class_list":["post-272218","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-imf","tag-jpmorgan","tag-adoption"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/272218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=272218"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/272218\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/272219"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=272218"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=272218"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=272218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}