El Salvador’s decision to officiate Bitcoin [BTC] as legal tender came as a surprise to many. While crypto lovers across the globe were ecstatic following this announcement, an array of government officials across the globe were rather frantic. The Governor of the Bank of England, Andrew Bailey was the latest to express distress over El Salvador’s crypto-friendly move.
The emergence of Bitcoin stunned the entire globe. Its journey from being associated with the dark web to being recognized and accepted by a whole country has been impeccable. This came as a true selling point and El Salvador decided to dive deep into the industry.
Despite amassing a lot of backlash from officials all around the world along with certain El Salvorians, the country moved forward and gave Bitcoin a legal tender. The adoption rate of BTC has certainly surged ever since.
El Salvador continues to receive backlash over BTC adoption
During his recent appearance at the Cambridge University, Andrew Bailey, the Governor of the Bank of England noted that El Salvador’s Bitcoin adoption was a matter of concern. Pointing out the volatile nature of cryptocurrencies or particularly Bitcoin, Bailey suggested the citizens of the region didn’t understand the perils of volatility.
He added,
“It concerns me that a country would choose it as its national currency. What would worry me most of all is, do the citizens of El Salvador understand the nature and volatility of the currency they have.”
Volatility has been a major concern for many. Time and again, the dangerously volatile nature of cryptocurrencies has been brought up and shown in an incredibly bad light.
He stated,
“There is a strong case for digital currencies, but in our view it has to be stable, particularly if it’s being used for payments. That is not true for crypto assets.”
Furthermore, Bailey suggested that he wasn’t the only one that felt this way. He pointed out that the International Monetary Fund also known as IMF wasn’t very pleased with El Salvador’s Bitcoin-friendly move.