El Salvador remains a Bitcoin nation, even though bitcoin is no longer recognized as legal tender in the nation — at least from my perspective.
Let’s begin with some context regarding this situation.
On January 29, 2025, the Legislative Assembly of El Salvador made a decision to revoke bitcoin’s legal tender status.
This indicates that businesses in the nation are no longer required to accept bitcoin (though this regulation was hardly enforced while bitcoin was deemed legal currency, as far as I know; nevertheless, I have been informed that large enterprises operating in the nation (such as McDonald’s, Walmart) might cease accepting bitcoin as payment now, which could negatively impact adoption).
This alteration occurred roughly a month subsequent to the International Monetary Fund (IMF) reached an agreement with officials in El Salvador that included the following stipulations:
- El Salvador would obtain a $1.4 billion loan to assist the government’s “reform agenda”
- Risks associated with bitcoin would be addressed; bitcoin acceptance in the private sector must remain optional, while the public sector’s involvement in Bitcoin-related endeavors would be “restricted” (bitcoin can no longer be utilized to settle government debts or remit taxes)
- Operations involving the government-created Bitcoin wallet, Chivo, would be “dismantled”
Although the announcement of the Salvadoran government’s retreat from its bitcoin legal tender policy due to IMF pressure resonates deeply with me, someone who isn’t Salvadoran and doesn’t reside in the nation, I continue to feel that El Salvador is still a Bitcoin nation.
This sentiment has only intensified based on what I’ve observed Bitcoin enthusiasts in El Salvador sharing on X.
Evelyn Lemus, co-founder and Director of Education at Bitcoin Berlin, a Bitcoin-centric circular economy in the region, intends to persist in instructing everyday Salvadorans about Bitcoin.
Just putting it out there.
Bitcoiners will not cease educating about Bitcoin and facilitating its adoption simply because Bitcoin is not legal tender anymore. It means we must keep pushing harder and continue our efforts 🇸🇻
LFG🙌
Bitcoin in the hands of the people 🫡 pic.twitter.com/hnMpJmL5c7— Evelyn Lemus (@Evelynlemus2906) February 2, 2025
The crew at Bit Driver has no intentions of altering their business model — accepting bitcoin as payment for taxi rides — anytime soon.
We're still a Bitcoin company.
— Bitdriver (@bitdriver_sv) February 2, 2025
Although John Dennehy, founder of Mi Primer Bitcoin, conveyed his apprehension about the El Salvador government’s reversal on bitcoin as legal currency, he along with the expanding team at Mi Primer Bitcoin intend to strengthen their commitment to their initiatives.
Good morning from El Salvador!
We are now on DAY NINE since the government revoked Bitcoin as legal tender, at the behest of the IMF (effective after 90 days)
This means grassroots, independent Bitcoin education is now MORE crucial than ever
In response, at… pic.twitter.com/iTXdf0gAoL
— John Dennehy (@jdennehy_writes) February 7, 2025
The renowned Max and Stacy have yet to publicly communicate any intentions to abandon El Salvador in the near future.
Furthermore, El Salvador’s Bitcoin Office, overseen by Stacy, continues to accumulate bitcoin and facilitate Bitcoin educational programs nationwide.
🇸🇻EL SALVADOR STACKS ANOTHER 1 BTC TO STRATEGIC RESERVE
El Salvador is still stacking.
Every day.
➡️Total SBR Holdings: 6,071.18 BTC
➡️Total Added Today: +1 BTC
➡️Total Added Past 7 Days: +22 BTC
➡️Total Added Past 30 Days: +60 BTC… pic.twitter.com/y4kv2693BX— The Bitcoin Office (@bitcoinofficesv) February 7, 2025
The takeaway here is that while the regulations concerning Bitcoin may have transformed in El Salvador, the Bitcoin enthusiasts present in the country have hardly wavered.
Because we are Bitcoin, what remains most significant is that everyday Salvadorans and all participants in the Bitcoin movement in El Salvador persistently strive to advance the Bitcoin mission.
The IMF may have struck a blow, but Bitcoiners in El Salvador remain resolute in their endeavors to promote widespread Bitcoin acceptance.
El Salvador is still Bitcoin nation.
This article represents a Take. Views expressed are solely those of the author and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.