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Saturday, September 25, 2021

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Bitcoin collapses more than 10% on a key day in its history

The skid occurs in the middle of the debut of El Salvador, a country of just over 6.4 million inhabitants, which became the first in the world to adopt Bitcoin as legal tender, as stipulated by a law that was approved expressly last June by Parliament, controlled by the party of President Nayib Bukele amid criticism from the population, banks and international organizations.

The president said that the use of bitcoin will be optional, but the text of the law reads that “every economic agent” is obliged to accept it “as a form of payment when it is offered to him by whoever acquires a good or service.”

Yesterday, Bitcoin, the leader of the cryptocurrencies, had overcome its losing streak, managing to exceed US $ 51,000 for the first time in almost four months, but this situation puts her back on the ropes.

The Bukele government assured that the controversial measure will contribute to the bankingization of the population and will prevent a loss of 400 million dollars in the remittances that Salvadorans send from abroad and that represent 22% of GDP, although some experts question it.

In El Salvador, which dollarized its economy two decades ago, the majority of the 6.5 million Salvadorans rejected the bitcoin promoted by Bukele and preferred to continue using the greenback, according to the latest surveys. “That Bitcoin is a currency that does not exist, it is a currency that is not going to favor the poor but the wealthy, because a poor person, what can he invest, if we barely have enough to eat?” Said José Santos Melara , a veteran of the civil war (1980-1992) who on Friday participated in a protest against cryptocurrency.

Tammy Sewell is our Writer and Social at OICanadian.com. Tammy loves sports, she writes our celebrities news. She spends time browsing through several celebs news sources as well the Instagram. Email: [email protected] Phone: +1 513-209-1700

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