They denounce millionaire loss in El Salvador due to the use of bitcoin | News

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The constant drop in the price of bitcoin, imposed as legal tender by the Government of Nayib Bukele, in El Salvador, has been denounced by civil society organizations in recent days, just at the moment, like this Thursday when the cryptocurrency marks $21,000 per unit, down 50 percent from a year ago.

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Since Monday of last week, the cryptocurrency has dropped almost 10,000 and its value has more than halved since the beginning of the year, to which is added that last Monday it fell 15 percent, its biggest drop in a day since March 2020. So far this year it has lost half its value and more than 20 percent since last Friday alone.

With the recent decline in the value of the virtual currency, the value of El Salvador’s reserves is now 52 million dollars. This represents a loss of 50.6 percent. In total, the Government of Nayib Bukele bought more than 2,000 bitcoins for the equivalent, at the time of purchase, of 103 million dollars.



According to local media, the total number of bitcoins acquired by the Government is unknown with certainty, since the purchases are only announced through President Bukele’s personal Twitter account. The last purchase was on May 9, when he invested $15 million of public funds to buy 500 bitcoins.

The Government invokes the justification that there have been no losses because such virtual currencies have not been sold.

However, the opposition deputy, Claudia Ortiz, denounced that “the point is not whether bitcoin goes down or up. We are a poor country whose government used millions of people’s money for a failed bet that did not improve their lives. The money could be used to support the most vulnerable families and not for a whim of crypto influencers.”



At the same time, the Emerging Bonds Indicator (EMBI), which measures Country Risk, rose more than 1.5 percentage points in a single day and closed on Monday at 24.62 percent, while bond prices they fell on Wednesday to 9.41 percent.

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