IMF Opposes El Salvador’s Bitcoin Expansion: A Clash of Cryptocurrency Vision and International Support

The International Monetary Fund (IMF) has challenged El Salvador’s aggressive adoption of Bitcoin, urging the government to halt further purchases of the cryptocurrency. In a recent agreement on the first review of a 40-month Extended Fund Facility program, an essential condition was halting future Bitcoin purchases. This stands in direct conflict with President Nayib Bukele’s intention to significantly increase El Salvador’s holdings of Bitcoin. The IMF warns that this stance could leave the nation vulnerable to currency and liquidity shocks.