El Salvador’s Congress has approved a pivotal amendment to the nation’s bitcoin law enhancing its relationship with cryptocurrencies. The bill initiated by President Nayib Bukele now makes the acceptance of bitcoin voluntary aligning with a major $1.4 billion loan agreement with the International Monetary Fund. This legislative move is seen as a step toward stabilizing the crypto market in the country which previously mandated bitcoin as legal tender.

Lawmakers from Bukele’s ruling New Ideas Party have been instrumental in the swift passage of the reform which garnered 55 votes in favor and only two against. This revision was deemed essential for ensuring the longevity and practical application of bitcoin as a legal currency within the nation’s financial ecosystem.

With global attention on El Salvador’s innovative embrace of bitcoin the country continues to bolster its cryptocurrency reserves. The adjustments to the law are anticipated to attract more sustainable investment and foster a pro-crypto environment under the current administration.

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