A new bill to protect the American financial system
While El Salvador adopted the Bitcoin (BTC) like legal tender last year, the United States is still as worried about the impact of this initiative on their own financial system. This Monday, April 4, US lawmakers proposed a new bill named ” El Salvador Cryptocurrency Liability Law “.
The project was presented by Congresswoman Norma J. Torres and the Congressman Rick Crawford. Through a leaked statement in a tweet, Congresswoman Torres said the bill was necessary to protect the US financial system from ” you look reckless by Salvador.
Replies to his tweet were not long in coming, and many reviews were made against him.
Today I presented the El Salvador Cryptocurrency Liability Law with @RepRickCrawford. The adoption by El Salvador of #Bitcoins is not a thoughtful embrace of innovation, but a reckless bet that is destabilizing the country. https://t.co/Ag9K8fyHMb pic.twitter.com/4N8DN7895w
– Rep. Norma Torres (@NormaJTorres) April 5, 2022
In particular, the MP clarified in her press release:
” El Salvador is an independent democracy and we respect its right to self-government, but the United States must have a plan in place to protect our financial systems from the risks of this decision, which appears to be a reckless gamble rather than a thoughtful adherence to innovation. »
The new legislation aims to produce at the State Department an analysis of El Salvador’s adoption of bitcoin as legal tender and risks to cybersecurity, economic stability and democratic governance ” in the country.
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The Bitcoin law in El Salvador: a law that scares financial institutions
Last year, El Salvador announced that Bitcoin (BTC) would become legal tender in the country. It’s here first time a country has taken such a stepand it caused quite a stir in the mainstream media and financial institutions.
This innovative law was the brainchild of the country’s president, Nayib B Watch. Through this Bitcoin law, the objective of this 40-year-old president, who denotes traditional politicians, was toattract investors and crypto-traders to his country. All this in order to give a new dynamic to the economy of El Salvador, which still suffers from a bad reputation for its security, having been for a long time one of the most violent countries in Central America.
Moreover, since the adoption of this law, local tourism would have increased by 30% according to the government of El Salvador.
More not everyone is satisfied of the young president’s various projects. American lawmakers still want to keep an eye on the small Central American country, whose size of the economy should not normally worry.
Congressman Jim Risch said in a statement:
The Bitcoin Act has the “potential to weaken US sanctions policy, empowering malicious actors like China and organized criminal organizations »
In addition, the International Monetary Fund (IMF) and the World Bank have both criticized the bitcoin lawand even asked the country to give it up, due to financial risks that she would cause.
👉 On the same topic – U.S. Senate Considers Risks of Bitcoin (BTC) Adoption in El Salvador
Source : Press release
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