The International Monetary Fund (IMF) has reiterated its stance on cryptocurrencies, stating that it is a “well-established fact” that the agency does not support the use of Bitcoin (BTC) as legal tender.
This statement comes amid ongoing talks with El Salvador, which adopted Bitcoin as its official currency some time ago.
The IMF emphasized that “significant” structural measures should be implemented in El Salvador. Although the details of these measures have not been disclosed, they are likely to involve significant changes in the country's financial and economic policies.
In addition to these concerns, the IMF is negotiating a new financing agreement with El Salvador. The latest negotiation mission to the country was described as a very productive step. But both sides acknowledged they were “not there yet” in reaching an agreement.
“Our relations with El Salvador have been very productive,” Rodrigo Valdes, Director of the IMF's Western Hemisphere Department, told Reuters. “We only had one mission there, a negotiating mission, but we knew it would be a first step,” he said.
When asked if a change in Bitcoin's status was part of the discussions, Valdes said: “I would prefer not to specify the exact measures that should be taken, but it is a known fact that we do not consider Bitcoin as a legal tender. We do not support it in general.”
The Salvadoran government did not respond to a request for comment on whether removing BTC's status was discussed.
*This is not investment advice.
