The IMF intends to prevent the growth of bitcoin in the accounts of the government of El Salvador. In December last year, the parties concluded an agreement according to which the country pledged to limit activities in the field of cryptocurrencies in exchange for a 40-month financial package of $1.4 billion. Other institutions, including the World Bank, may also provide additional financial support, which could bring the total amount of assistance to $3.5 billion. To meet the conditions, El Salvador has amended its legislation. In February 2023, bitcoin lost its status as a legal tender, which deprived citizens of the opportunity to pay taxes to them. Sellers now accept cryptocurrencies exclusively voluntarily. Previously, since September 2021, bitcoin had the status of the official currency in the country. The IMF's program is aimed at addressing the macroeconomic and structural problems of El Salvador. The fund believes that the government's cryptocurrency reserves are associated with high risks and require restrictions. The IMF has criticized the legalization of bitcoin in the country for several years, stressing that it could hinder the provision of international financing.
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