{"id":550871,"date":"2023-02-12T06:21:40","date_gmt":"2023-02-12T03:21:40","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/el-salvadors-limited-use-of-bitcoin-prevents-forecasted-risks-suggests-imf\/"},"modified":"2023-02-12T06:21:40","modified_gmt":"2023-02-12T03:21:40","slug":"el-salvadors-limited-use-of-bitcoin-prevents-forecasted-risks-suggests-imf","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/el-salvadors-limited-use-of-bitcoin-prevents-forecasted-risks-suggests-imf\/","title":{"rendered":"# El Salvador\u2019s \u2018limited\u2019 use of Bitcoin prevents forecasted risks, suggests IMF"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3f97bc67356\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3f97bc67356\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/el-salvadors-limited-use-of-bitcoin-prevents-forecasted-risks-suggests-imf\/#%E2%80%9D_El_Salvadors_%E2%80%98limited_use_of_Bitcoin_prevents_forecasted_risks_suggests_IMF_%E2%80%9C\" >&#8221; El Salvador\u2019s \u2018limited\u2019 use of Bitcoin prevents forecasted risks, suggests IMF &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_El_Salvadors_%E2%80%98limited_use_of_Bitcoin_prevents_forecasted_risks_suggests_IMF_%E2%80%9C\"><\/span>&#8221; El Salvador\u2019s \u2018limited\u2019 use of Bitcoin prevents forecasted risks, suggests IMF &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjMtMDIvYjc0OTljMGEtYzBmZS00MzE3LTllNjQtMDJhYzEyMGQ5MTA2LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-4bbf85c5>El Salvador has been advised to exercise caution in expanding government exposure to Bitcoin (BTC) due to the \u201cspeculative nature\u201d of crypto markets by the global monetary watchdog.<\/p>\n<p>A Feb. 10<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.imf.org\/en\/News\/Articles\/2023\/02\/10\/el-salvador-staff-concluding-statement-of-the-2023-article-iv-mission\"> statement<\/a> from the International Monetary Fund (IMF) emphasized that Bitcoin\u2019s risks in El Salvador have \u201cnot materialized\u201d yet due to its \u201climited\u201d use so far, after IMF staff visited the country last week.<\/p>\n<p>It was suggested that El Salvador address these risks as Bitcoin\u2019s use \u201ccould grow\u201d given it has been recognised as legal tender in the country since Sept. 2021.<\/p>\n<p>El Salvador was warned to re-evaluate its plan to increase government exposure to Bitcoin due to both legal and financial dangers. The statemen noted:<\/p>\n<blockquote><p>\u201cGiven the legal risks, fiscal fragility and largely speculative nature of crypto markets, the authorities should reconsider their plans to expand government exposures to Bitcoin.\u201d<\/p><\/blockquote>\n<p>The IMF emphasized the importance of \u201cgreater transparency\u201d regarding both the El Salvadoran government\u2019s Bitcoin transactions and the \u201cfinancial situation\u201d of the government\u2019s state-owned Bitcoin wallet, the Chivo wallet.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>El Salvador&#8217;s Bitcoin decision: Tracking adoption a year later<\/em><\/strong><\/p>\n<p> El Salvador was also recommended to rethink its decision to issue tokenized bonds, as IMF stated the idea should be \u201ceschewed\u201d due to its risk to financial integrity and consumer protection.<\/p>\n<p>This comes after recent <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> that a legal framework for a Bitcoin-backed bond in El Salvador, known as the \u201cVolcano bond,\u201d was established on Jan. 11.<\/p>\n<p>The El Salvadoran government said that these bonds will be used to pay down sovereign debt and fund the construction of its proposed \u201cBitcoin City.\u201d<\/p>\n<p>Bitcoin City is part of El Salvador&#8217;s plan to continue attracting crypto investors, with it previously being noted that a priority for the country in 2023 is to address any possible cryptocurrency-related criminal activity.<\/p>\n<p>Guillermo Contreras, CEO of DitoBanx previously told Cointelegraph on Jan. 6 that the opening of the National Bitcoin Office in El Salvador will function as \u201ca central entity\u201d to deal with these issues.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"crypto_biz\"><\/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 News 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-limited-use-of-bitcoin-prevents-forecasted-risks-suggests-imf\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; El Salvador\u2019s \u2018limited\u2019 use of Bitcoin prevents forecasted risks, suggests IMF &#8220; El Salvador has been advised to exercise caution in expanding government exposure to Bitcoin (BTC) due to the \u201cspeculative nature\u201d of crypto markets by the global monetary watchdog. A Feb. 10 statement from the International Monetary Fund (IMF) emphasized that Bitcoin\u2019s risks&#8230;<\/p>\n","protected":false},"author":1,"featured_media":550872,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2023-02\/b7499c0a-c0fe-4317-9e64-02ac120d9106.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,75819,75606,74355,5069,90059,55229,70934],"class_list":["post-550871","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-wallet","tag-imf","tag-adoption","tag-economy","tag-el-salvador","tag-law","tag-regulation"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/550871","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=550871"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/550871\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/550872"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=550871"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=550871"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=550871"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}