El Salvadors finance minister says there is minimal financial risk

El Salvador’s finance minister says there is “minimal financial risk” due to the decline in bitcoin price

According to Salvadoran Minister of Finance Alejandro Zelaya (Alejandro Zelaya), the rapid devaluation of Bitcoin does not pose any significant risks to the country’s financial system cryptocurrency transacted.

    Image source: Esau González/unsplash.com

Image source: Esau González/unsplash.com

Last September, El Salvador became the first country in the world to make Bitcoin official tender alongside the US dollar, despite criticism from the International Monetary Fund (IMF) and other credit authorities.

“When they tell me that the financial risk for El Salvador is really high because of Bitcoin, I can only smile”Said Celaya.

Since last September, El Salvador has acquired 2,301 “coins.” At the same time, according to Coinbase, the bitcoin price today is just over $21,000. It was previously reported that El Salvador’s cryptocurrency “portfolio” of bitcoins has lost more than $40 million in value, which may also have made Zelaya smile.

“Forty million is not even 0.5% of our total national budget”, he said. Bitcoin’s value after it became the official unit of payment in El Salvador fell about 50% against the dollar.

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Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

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