BREAKING: To 'narrow the scope' of Bitcoin law.
Board members of the IMF"urged the authorities to narrow the scope of the Bitcoin law by removing bitcoin's legal tender status," said the entity, in the statement.
Some of the IMF's board members also expressed concerns surrounding the risks potentially involved with El Salvador issuing bitcoin-linked bonds, according to the report. This comes on the heels of an earlier, November 2021 statement from the IMF, when it recommended against El Salvador using bitcoin as legal tender.
. This recommendation came at the end of an Article-IV mission to the nation, with the aim of consulting with El Salvador's government officials.In September of last year, the nation becameas legal tender, next to the U.S. dollar."Because of those risks, bitcoin should not be used as legal tender," continued the IMF statement."Staff recommends narrowing the scope of bitcoin law and urges strengthening the regulation and supervision of the new payment ecosystem.