LETTER #27: THE IMF IS AFRAID OF BITCOIN.
They are using wild methods to slow down its adoption.
Another day and another attempt by the IMF to slow down the adoption of Bitcoin.
Back in 2018, the IMF approved $57 billion worth of loan to Argentina when Mauricio Macri was the president of the country. The country has already received $44 billion of that amount.
Alberto Fernandez - Argentina’s new president - refused to accept the rest and he also want to negotiate the repayment terms of the vast debt. The country was supposed to pay back $19 billion and $20 billion to the IMF before the end of this year based on the old repayment terms, but the government says it’s impossible.
Argentina is experiencing more than 50% inflation year over year and its financial position is not strong enough to repay this huge debt soon enough.
Therefore, lawmakers have approved a deal with the IMF in order to restructure the debt and under this new deal, repayments will be made from 2026 to 2034.
With this new deal (which will be discussed in the senate for final approval), the IMF wants to stop another Latin American country - after El Salvador - to adopt Bitcoin. Here’s how:
“The National Government, for a better safeguard of financial stability, will discourage the use of cryptocurrencies in the prevention of fraud and informality, in the same way, the digitization of payments will have official incentives and additional protection will be given to the financial consumer.”
This is the statement they made in the bill. It clearly shows they don’t want another country adopting Bitcoin.
This is insane. They are trying to take advantage of Argentina’s compulsion.
Why should the IMF decide which technologies are “safe” for Argentinians? This is a function of the free market. Let the people of Argentina decide which technology is to prefer rather than forcing them to use something that you think is “good” for them.
This is not the first time that the IMF has tried to attack Bitcoin in some way.
Since El Salvador’s Bitcoin strategy, the IMF has condemned the country a lot. They even urged El Salvador to remove Bitcoin as legal tender.
If they think adopting Bitcoin is a bad idea and will lead to “financial instability”, then they should let the countries adopt it and see them fail. The fact that they don’t do it proves that they are afraid of Bitcoin and don’t want the countries to use a tool that promotes financial sovereignty.
FINAL THOUGHT…
The Summers are BACCCKKK!!!!!!