Following a technical analysis of the Bitcoin law, the Central American Institute for Fiscal Studies (Icefi) therefore recommends that the Legislative Assembly repeal this re Regulation and that the use of this cryptocurrency be voluntary.

During the vote on the Bitcoin Act, Icefi published an analysis1 warning against the risks of adopting a highly speculative financial cryptoasset as legal tender. The Legislature approved $225.3 million for the implementation of the Bitcoin law, however, for the Institute, it is alarming that a year later, details of the management of these public resources have not been published.

The adoption of bitcoin, combined with institutional deterioration, has caused serious difficulties for the government to access sources of funding for die budget deficit.

According to a statement from the tax research organization, one year after the Bitcoin law came into force, Icefi's technical analysis shows a negative balance, with co& Ucirc; high scores for Salvadoran society and no tangible benefits, he therefore recommends that the Legislative Assembly repeal the Bitcoin law, and that the use of this cryptocurrency be voluntary, according to a statement from the tax research organization.