They never promised IMF on anything unrelated to that, IMF only warned them to be cautioned regarding any kind of investment like bitcoin that could be volatile, though there may be terms to the granting of the loan, but I don't think buying bitcoin is part of what could be termed as breach of law according to their agreement, this only shows how El-Salvador is been logical in their investments and IMF may only borrow them money, but not to dictate for them.


Had it been this your idea could have helped, they would have taken it right from time, even before considering IMF, but as I've said, they know what they are doing.


Check on the El-Salvador thread and know how bitcoin adoption has transformed them in many ways to what they are today, such that so many people who are into crypto are taking El-Salvador a learning ground for bitcoin because it's enabling for anything that has to do with this digital currency.

I expect that for now it's a good advertising and an investment they can liquidate whenever they want.
I also expect that in the not too far future it will act exactly like the gold deposits central banks have or the investments in other countries' bonds.

First, the terms and conditions to obtain a loan, whether from IMF, World Bank, or even other financial grants does not involved, or includes Bitcoin as conditions.

Now, El Salvador is accumulating Bitcoin on a gradual manner because they see Bitcoin as a potential store of value assets class, and they may be distracted by given its Bitcoin reserve for lending or crypto loans despite the high returns in my opinion

Again, El Savido Bitcoin reserve has a long term goals, at this point, accumulation is still ongoing, it is obvious that the economic impact may not have reflected because the purposes of their investment is for the future, though its value has continue to rise.

And about them ignoring the IMF El Salvador Ignores IMF, Buys More Bitcoin Anyway

This is absolutely the best capsule for the IMF. They deserve the snub as it doesn't and should not bother them if El Salvador decides to use their funds for a Bitcoin purchase. It is their investment, and that concerns them. El Salvador has benefited from Bitcoin investment, so they are pushing to further invest in it as a result of what they have experienced. That is what every right-thinking individual would do because they know Bitcoin has a big and better position in the future, and also they stand a chance to benefit from it in the long run.

What they borrowed was fiat. If they plan to lend out Bitcoin, the outcome you're thinking of would only work if Bitcoin’s price stays stable or keeps going up. But that’s not how it works as volatility is always a major risk when holding crypto.

That’s why proper risk management is crucial when launching a lending platform that offers this kind of interest to the public.

I don’t know the exact interest rate on the money they borrowed, but I’m pretty sure the IMF wouldn’t want that money to be used for investing in Bitcoin. It’s supposed to go into something low-risk to ensure they can pay their dues consistently.

We will never know why they didn't do that. But if it's me, I'm going to pay the loan already and keep the profits with me.

Though they have a long-term plans on what they are doing and they know better than most of us do. That's why if they're keeping it, they're paying the debt through other means.

And as for the El Salvador's economy, they're having more crypto tourists I guess and as a legal tender, many are starting to learn about it and getting more conscious about the price of it.

Didn't IMF impose sanctions on them before?

But even if they got a loan from IMF, how do we know that they used the funds to buy Bitcoin? Any concrete blockchain proof?

I personally don't believe in the lending platforms stuff. It's just bullshit, and it's anti bitcoin one way or the other. It can't beat just buying Bitcoin and HODling

IMF under pressure of even bigger foundartions and governments have big concern that they need to slow down Bitcoin adoption growth and its impacts on global economy, central bank systems and people all over the world.

They know that the noise from El Salvador Bitcoin Legal Tender years ago is big, and the snowball already started. They only tried to slow it down even they are aware of unrealistic attempt to beat Bitcoin down from now.

Check El Salvador Bitcoin portfolio there with Arkham
https://intel.arkm.com/explorer/entity/el-salvador

This is a mandatory agreement if El Salvador wants to borrow money from the IMF. They are not allowed to use public funds or loans to buy bitcoin and if they violate, they could have their aid cut off. And So far, there is no evidence that El Salvador is using borrowed money to buy bitcoin.
Also, it should be remembered that the loan package amounted to more than $1.4 billion but the IMF has only disbursed more than $113 million. The second aid package worth $120 million has not yet been approved, and the IMF is making more requests from El Salvador.
El Salvador depends on the IMF, they have enough power to dictate what El Salvador should and should not do.

But the fact is that their economy is still in dire straits even though bitcoin has been adopted in the country for a long time.