Bukele seems to be moving on from bitcoin

The **International Monetary Fund** has driven a change in **El Salvador**'s policy on **bitcoin**. The country will no longer buy cryptocurrencies and has given up control of a significant portion of its holdings.

## A shift in strategy

It looks like the bet on **bitcoin** as legal tender in **El Salvador** is coming to an end, or at least entering a phase of retreat. The government of **Nayib Bukele** has reached an agreement with the **International Monetary Fund** that entails a radical change in its cryptocurrency policy. The news, which has spread widely, indicates that the country will stop acquiring more **bitcoins**.

## Handing over control of the cryptocurrencies

The deal with the **IMF** goes beyond simply giving up new purchases. **El Salvador** has transferred "majority ownership and control" of more than **7,763 bitcoins**. These cryptocurrencies, valued at around **632 million dollars** at the time of the transaction, now pass into the hands of a third party, whose name is not specified in the statement. This move suggests an attempt to stabilize public finances and meet the demands of the international organization.

## The IMF's shadow

The IMF's intervention highlights the financial pressures **El Salvador** faces. The adoption of **bitcoin** as legal tender in **2021** generated controversy and concern among international financial institutions due to its volatility and associated risks. This agreement appears to be a response to those concerns, seeking greater fiscal discipline and a move away from high-risk assets.