The IMF releases its El Salvador economic report on February 10, 2023.
Trade between El Salvador and Texas reached a value of $1.24 million.
While the International Monetary Fund (IMF) 'warned El Salvador' about the government's increasing activity with Bitcoin (BTC), the Central American country plans to open a "Bitcoin Embassy" ( Second Bitcoin Ambassador in Texas after establishing the first in Lugano, Switzerland.
According to a Twitter post by Milena Mayorga, El Salvador's Ambassador to the United States, she and other representatives discussed with Joe Esparza, deputy secretary of the Texas government.
Milena Mayorga said;
We discussed opening a second Bitcoin ambassador and expanding economic and trade exchange initiatives.
Additionally, Mayorga added, “In 2022, trade between El Salvador and the State of Texas reached $1,244,636,983.”
El Salvador's endless support for Bitcoin
El Salvador is the first sovereign country in the world to accept Bitcoin as legal tender. Accordingly, the country's government has continuously bought BTC to increase the value of the country's currency.
Additionally, since then, the country has taken steps to develop government bonds using BTC as collateral, with the government also serving as a home for countless projects that choose to use Bitcoin. And this new Bitcoin embassy initiative has created a new connection between Texas and the Central American country.
However, on February 10, 2023, the IMF released its final report on the El Salvador economy and issued a warning about the use of Bitcoin in El Salvador due to the speculative nature of the cryptocurrency market. Additionally, the country also stated that “risks should be addressed.”
Furthermore, the IMF believes that since September 2021, when El Salvador adopted bitcoin as legal tender, the country's growth rate has slowed. Due to legal and financial concerns related to issuing tokenized bonds, the International Monetary Fund also advised El Salvador to reconsider.
