IMF urges El Salvador to strip bitcoin of legal tender status

Executive directors of the International Monetary Fund urge El Salvador's government to remove bitcoin's (BTC-USD) status as legal tender, with some director expressing concern over the risks associated with issuing bitcoin-backed bonds. Keeping the cryptocurrency as legal tender may hamper the the country's efforts to get a loan from the international entity, Bloomberg reports. The IMF directors "stressed that there are large risks associated with the use of bitcoin on financial stability, financial integrity, and consumer protection, as well as the associated fiscal contingent liabilities," the IMF said. Bitcoin (BTC-USD) is up slightly over the past 24 hours, recently trading at $36.6K. Keep in mind that the crypto has lost about half its value from its peak of $68.8K on Nov. 10. The IMF officials agreed that digital payments, such as the Chivo e-wallet, could boost financial inclusion in the country. "However, they emphasized the need for strict regulation and