El Salvador became the first country to accept Bitcoin as legal tender in September 2021. Fast forward to the present, discussions about El Salvador's bitcoin default are becoming commonplace.
Bitcoin was the economic salvation for El Salvador, but so far, the bet is not paying off as President Nayib Bukele had planned.
The government's cryptocurrency holdings have been reduced by half, bitcoin adoption is not really picking up across the country, and most importantly, the nation needs a lot of money, quickly, to satisfy its debt obligations of more than $1 billion over the course of the next year. This occurs as bitcoin prices have dropped more than 70% from their peak in November 2021 and more than 55% since Bukele first revealed his scheme.
El Salvador's economic development has slowed, its deficit is still large, and the country's debt-to-GDP ratio, which measures how much a nation owes in relation to its income, is expected to reach about 87 percent this year, raisin...