El Salvador continues to be a hotbed for Bitcoin activity, regardless of Bitcoin’s recent shift from a legal tender status in the nation — at least from my perspective.

Let’s delve into the backstory of this situation.

On January 29, 2025, the Legislative Assembly of El Salvador decided to rescind Bitcoin’s legal tender status. This means that businesses within the country are no longer obligated to accept Bitcoin as a payment option. Although this rule was never stringently observed while Bitcoin held the status of a legal currency, I’ve been informed that major businesses operating within the nation, such as McDonald’s and Walmart, might discontinue accepting Bitcoin as a payment method. This could potentially hinder further adoption.

This change came about roughly a month after the International Monetary Fund (IMF) reached an agreement with El Salvador’s authorities. The agreement included:

• A $1.4 billion loan to El Salvador to support its government’s “reform agenda”
• Measures to mitigate Bitcoin-related risks; Bitcoin acceptance in the private sector should be voluntary, and the public sector’s involvement in Bitcoin-related activities would be “limited” (Bitcoin can no longer be used to pay government debts or taxes)
• Gradual cessation of operations for the government-created Bitcoin wallet, Chivo

Even though it’s a bit disheartening to see the Salvadoran government reverse its stance on Bitcoin as a legal tender due to the IMF’s influence, I firmly believe that El Salvador remains a stronghold for Bitcoin. This sentiment has only been reinforced by my observations of Bitcoin enthusiasts in El Salvador sharing their experiences on social media.

Evelyn Lemus, co-founder and Director of Education at Bitcoin Berlin, a Bitcoin circular economy within the country, intends to continue educating Salvadorans about Bitcoin. Various businesses in the country, like Bit Driver, have no plans to alter their business models — they will still accept Bitcoin as payment for taxi services.

John Dennehy, founder of Mi Primer Bitcoin, has expressed worry about El Salvador’s government altering its stance on Bitcoin as a legal currency. However, he and his ever-expanding team at Mi Primer Bitcoin are committed to intensifying their efforts.

Even the renowned Max and Stacy have shown no signs of giving up on El Salvador any time soon. El Salvador’s Bitcoin Office, run by Stacy, is still acquiring Bitcoin and helping to manage Bitcoin education programs in the country.

The takeaway from this is that while the legal framework around Bitcoin has shifted in El Salvador, the Bitcoin enthusiasts in the country have barely blinked. What matters most is that everyday Salvadorans and everyone else involved in the Bitcoin movement in El Salvador continue to march towards the Bitcoin mission.

Although the IMF may have dealt a blow, Bitcoin enthusiasts in El Salvador remain unwavering in their pursuit of wider Bitcoin adoption. El Salvador continues to be a stronghold for Bitcoin.

This article is an opinion piece. The views expressed are solely those of the author and do not necessarily reflect the views of BTC Inc or Bitcoin Magazine.