El Salvador has lost about $ 12 million for buying bitcoins, according to Bloomberg calculations

While the price of Bitcóin is still falling and approaches what the financial ones call “the cross of death”, the alert voices continue to sound for El Salvador, which is the only country in the world to have legalized the cryptactive and having bought Tokens with public funds.

“The president of Salvador, Nayib Bukele, is probably the only Head of State in the world who uses public funds to trade Bitcóin with his phone,” he publishes this morning Bloomberg.

The medium points out that the purchases of 1,391 tokens that has purchased the state with public funds involved an expense of about $ 71 million and that to date those equals to about $ 59 million, that is, it implies a loss of $ 12 million, making itself there is no data or official information with which to contrast.

“Even with the fall of Bitcóin, any possible commercial loss is eclipsed by the fall of the nation’s bonds, which has raised the financing costs of El Salvador,” says Bloomberg.

El Salvador’s bonds performed the worst in the world last year, and prices do not appear to recover. While the country risk continues to climb, exceeding 15%, the highest rate in the history of this indicator.

And while economists continue to indicate and warning the risks in the cryptoctive, the government enters a $ 1 billion emission designated in Bitcóins.

For Carlos Acevedo, former president of the Central Reserve Bank, this broadcast would be to close the doors to be able to negotiate with traditional bondholders.

“Although from the point of view of an investor who does its analysis, it is not good business … it can work as a kind of solidarity of the sect of the ‘Bitciners’, but it is not good business. It does not make sense that you buy the bonus of a country with the level of indebtedness of El Salvador and that for 5 years it will have you frozen that, because it is expected that the value of the Bitcóin rises, for that better to keep it in the digital wallet, “he says .

Nathalie Marshik, Head of Sovereign Research of Emerging Markets of Stifel Nicolaus & Co. in New York, told Bloomberg that: “I can understand why the Salvadoran taxpayer would be annoyed by this, especially given the recent dive fall of Bitcóin. It is difficult to justify a government trading such a risky asset with taxpayers’ money in such opaque circumstances ”.


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