- Paraguay’s government quickly debunked false Bitcoin legal tender claims spread via social media.
- No official Bitcoin adoption in Paraguay yet; the government urges the public to await verified information.
- Social media scams involving cryptocurrency highlight the need for caution and proper verification.
Despite a popular post on social media, Bitcoin is not legal money in Paraguay. The President’s office immediately denied the claim that was made. A post on Monday revealed that Paraguay has made BTC its legal currency and set up a $5 million BTC reserve. The government responded immediately to deny this claim.
Soon after the post from Peña, the presidential account urged its followers to disregard the news. The authority stressed that no such decision was made yet and requested everyone to wait until an official confirmation. The government’s post was still available to users online after Peña’s post was removed.
Source: Santiago Peña
Paraguay Denies Bitcoin Claims Amid Uncertainty
In addition, the post gave a Bitcoin wallet address that investors were urged to use for safekeeping, making the matter seem more unclear. The government stated that there was no official proof to back these claims. According to them, they were helping X to handle the issue. It was stressed that people should trust information only if it is verified.
The occurrence of this incident comes at a time when Latin American countries are considering the use of Bitcoin. El Salvador is among the nations that have officially adopted BTC as legal tender. For the first time in 2021, the government of Nayib Bukele made BTC a legal currency in El Salvador. Nevertheless, the legal position of cryptocurrency is still unclear, particularly because of the IMF’s recent agreement with El Salvador from December 2024.
Paraguay Incident Highlights Misinformation Risks
The incident points out how social media platforms like X can be vulnerable, as in the past hackers have used them to launch cryptocurrency scams. In 2021, someone hacked Indian Prime Minister Narendra Modi’s Twitter account to share a message that BTC is now legal money in India. A hacker has just used the U.S. Securities and Exchange Commission’s X account to claim that an ETF for Bitcoin would soon be introduced.
The government’s swift actions demonstrate the importance of verifying news before blindly believing it. The authorities are taking action to ensure that all messages are truthful. While the discussion about Bitcoin’s impact on economies goes on, being careful becomes even more critical. The Paraguay incident shows the grave dangers of misinformation on the internet.
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