El Salvador's adoption of Bitcoin as legal tender may imply a buch of risks and regulatory challenges, International Monetary Fund spokesman Gerry Rice said On Thursday.

Adoption of Bitcoin as legal tendrr raises a numbet of macroeconomic,financial and legal issues that require very careful analysis so we are following developments closely and will continue our consultation with authorities,"

Rice said , speaking in Washington ,"Crypto assests can pose significant risks and effective regulatory measure are very important when dealing in them"

An IMF team is conducting virtual meetings with El Salvadore on its article IV review of the country and a potential credit problem including politics to strengthen economy

El Salvadore congress approved a law this week requiring business to accept bitcoin in exchange for goods and services . President Nayib Bukele said the digital currency will help counter low banking penetration qnd cut cost of sendind remittances..this way Their Country can Get Billions of Remittances from their people outside the country and with low cost.

According to a BLOOMBERG BARCLAYS INDEX

The plans for bitcoin under an increasingly auto cratic regime will likely only compound concerns about corruption ,money laundrring and the independencr of regulauory agencies ;

Now IMF AND USA IS trying To Convince El Salvadore to Push Bircoin Tender away becausr the El Salvadore Accepted US DOLLAR AS ITS CURRENCY JUST 20 YEARS AGO.AND NOW BIYCOIN HAS BEEN THROWN INTO THE COMPETITION. AND EVERY ONE KNOWS WHICH HAS THE CAPACITY TO GIVE PEOPLE FREEDOM OF FLOW,LOW COST TRANSFER,NO INFLATION, AND MANY MORE .OFCOURSE ITS BITCOIN...HAVE YOU NOT SEEN COUNTRIES LIKE TURKEY AND CHINA BANNING IT BECAUSE THEY HAVE TASTED ITS POTENTIAL.

SOURCE: BLOOMBERG 10 JUNE 2021