Ever since El Salvador has made Bitcoin (BTC) legal tender, its president, Nayib Bukele, has received both a mixture of criticism and praise from local as well as foreign parties. International organizations such as the IMF and even the World Bank have criticized his decision. However, the El Salvador leader remains confident that he did what was best for his people and the crypto industry as a whole.
To that end, he has since stated that Bitcoin cannot be stopped any time soon, even if there are fluctuations and corrections here and there. It is part of his country’s law now, and there is little that can be done to change that fact. He added that although individuals may often express mixed opinions regarding the flagship crypto, Bitcoin’s growth and the impact that it continues to have on the global socio-economic landscape cannot be prevented. He is not the only one that feels this way either, as others such as Paraguay’s top officials have also expressed interest in potentially adopting BTC as well in the near future.
History had been made on the 8th of June 2021 when El Salvador passed the bill which legalized BTC. With the passing of this bill, Bitcoin is now considered as an official currency in the country, alongside the United States dollar (USD). Almost immediately following this decision, the IMF displayed concerns about how this could potentially affect the ongoing negotiations with El Salvador regarding a loan of $1 billion. Nevertheless, the top officials in the El Salvadorian government have stated that Bitcoin shall maintain its legal status.
Recently, El Salvador’s government had also reached out to the World Bank for the purposes of being granted assistance for its plans of technical implementation. The World Bank, however, refused to help, claiming that Bitcoin is linked with an abundance of transparency shortcomings and environmental concerns and that the international financial institution wants nothing to do with the digital asset.
What will happen to El Salvador’s relationship with BTC?
Despite the international criticism, El Salvador will keep Bitcoin legalized for the time being, according to President Nayib Bukele. The country’s leader is convinced that Bitcoin and the cryptocurrency and blockchain industry are the future and that even a small portion of Bitcoin invested into El Salvador can go a long way towards helping the small island nation. He has also stated that everyone in his country shall be receiving BTC worth $30 as a gesture of appreciation for the citizens’ continued support.
To that end, the president believes that no matter what happens from now on, his law pertaining to legalizing Bitcoin will not be changed, and its momentum cannot be stopped. The majority of his country supports Bitcoin, and so will President Bukele for now.