With the weakening of the cryptocurrency market, many people are worried that El Salvador, which has repeatedly purchased bitcoins by state power, has become more financially strapped. However, the anti-corruption agency recently revealed that El Salvador’s National Development Bank (BANDESAL) has consistently refused to provide details about the government’s purchase of bitcoin.
El Salvador’s Anti-Corruption Legal Advisory Center (ALAC) has released an official document in which the bank said it could not disclose “confidential” information.
Under the impetus of President Nayib Bukele, El Salvador became the first country in the world to adopt bitcoin as legal tender in September last year, and subsequently bought bitcoin several times, while BANDESAL is responsible for managing the government’s use of bitcoin projects funds.
In addition to promoting “fiatization of bitcoin” and mandating the acceptance of bitcoin payments by corporate merchants, the government of El Salvador has launched “Chivo”, a state-funded crypto wallet, and issued $30 worth of bitcoin to the entire population to increase adoption Rate.
The Anti-Corruption Legal Advice Center (ALAC) believes that since El Salvador uses state funds, the public should have the right to know where and how much the money is used, but the government has repeatedly refused to provide details. The organization criticized:
This secrecy at home limits citizens’ access and information about how BANDESAL uses public funds.
A spokesman for the El Salvador government did not immediately respond to media requests for comment.
President Nayib Bukele has been using his phone to buy bitcoin for a long time, and every time he tweets about it.
In fact, the only way to know how much Bitcoin El Salvador bought, at what price, and how much it cost, is to follow Bouguereau’s Twitter account, as the government has yet to release official statistics.
External statistics show that since September last year, El Salvador has spent more than $100 million to buy 2,381 bitcoins.
The blocker previously reported that as the price of bitcoin plummeted, El Salvador’s paper losses on investing in bitcoin had reached US$60 million, and the related costs of the “bitcoin experiment” also cost the country’s government US$375 million. The overall usage rate is not ideal.
At the same time, Buglei once boasted that the “Bitcoin City” Haikou claimed to be built is still deserted, and the “Bitcoin Bond” has not been seen.
According to a poll by the University of Central America, 77 percent of El Salvadorans believe that their president “should not continue spending public funds on bitcoin.”