El Salvador to Curtail Bitcoin Operations Under IMF Loan Deal

BlockBeats news, December 19, according to Decrypt, after four years of negotiations, El Salvador reached a $1.4 billion loan agreement with the International Monetary Fund (IMF) on Wednesday. However, the agreement may not be as favorable as it sounds.

The terms in the agreement suggest that if approved, El Salvador will have to scale back certain aspects of its Bitcoin strategy.

Preliminary details of the agreement were disclosed earlier this month, and the plan focuses on "supporting macroeconomic adjustments and structural reforms."

Under the new agreement, El Salvador will make the acceptance of Bitcoin voluntary in the private sector and restrict public sector participation in crypto activities.