Will El Salvador Remove Bitcoin Legal Tender Status?

El Salvador was the first to establish bitcoin as legal tender in the world. It wouldn't take long before more people would have bitcoin wallets in the region than traditional bank accounts. The Chivo Bitcoin ATM and digital wallets were helping millions who were unbanked to finally have more access to make traditional exchanges.

Still, bitcoin has been too volatile and risky for others to take a similar look, though we have seen endorsement around the world in one way or another. We have also seen crackdowns too.

Just recently the IMF has urged El Salvador to backtrack on their plans and take away that legal tender status for bitcoin.

This comes after the leader has been posting about various dips he has been buying over the year etc, they've purchased over 1,800 coins to date.

Now though the board for the IMF is urging El Salvador to reverse course and strip bitcoin of the status of legal tender, but it doesn't look like El Salvador is in any rush to submit to that demand.

Upon hearing news of this request, the president of El Salvador responded by posting this to his twitter account: https://twitter.com/i/status/1486162932224479235

There has also been suggestions circling that Tonga might be next to make bitcoin legal tender, are they going to face the same recommendations from the IMF, as well as others who might follow? Is that going to stop the success of bitcoin? Will it discourage others from doing what El Salvador did and establishing this cryptocurrency as legal tender?

At least right now for El Salvador it doesn't seem to be slowing down their crypto plans any.

Sources: https://www.forbes.com/sites/theapothecary/2021/10/07/in-el-salvador-more-people-have-bitcoin-wallets-than-traditional-bank-accounts/?sh=334785b220b5 https://www.aljazeera.com/economy/2022/1/25/imf-urges-el-salvador-to-strip-bitcoins-legal-tender-status https://twitter.com/nayibbukele