El Salvador removes Bitcoin mandate
Acceptance of Bitcoin is now optional, reversing the 2021 law that made it legal tender.
El Salvador has officially amended its Bitcoin law, making acceptance of the cryptocurrency voluntary rather than mandatory.
The move reverses a key element of the 2021 law that made Bitcoin legal tender alongside the US dollar.
The reform was approved by Congress on 29 January, with 55 votes in favour and just two against. The chamber is currently dominated by President Nayib Bukele’s New Ideas Party.
According to officials, the amendment responds to requirements set by the International Monetary Fund as part of a US$1.4 billion loan agreement reached in December 2024.
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