Technology

El Salvador’s opposition party sues government over new Bitcoin legislation | Cryptocurrency

  • El Salvador’s opposition party sued the government over the new Bitcoin law, calling it unconstitutional.
  • Many citizens also indicated their support for the opposition, citing that the new legislation did not take into account the harmful effects of the law.
  • A whopping 80% of the citizens expressed that they did not want to receive payments in the main cryptocurrency.

The deputy leader of El Salvador’s opposition party recently lodged a complaint against new legislation making Bitcoin legal tender in the country.

Bitcoin law to “loot people’s pockets”

Farabundo Marti National Liberation Front (FMNL) deputy leader Jamie Guevara has filed a complaint to oppose El Salvador’s new Bitcoin law.

Guevara was backed by a group of Salvadoran citizens who believe the new Bitcoin legislation is unconstitutional. Together, the united forces aim to assert the El Salvador Bitcoin law that would come into force in the coming months.

A citizen named Oscar Artero said:

“I brought an action for unconstitutionality against the decree issued by the Bitcoin law to be a decree devoid of legality, of merit, without taking into account the importance and the harmful effects that such a law will cause to this country. “

Salvadoran President Nayib Bukele presented the proposal to allow Bitcoin to become legal tender, which was approved and incorporated into law earlier this month.

Bukele believes the main cryptocurrency would help Salvadorans send funds to their home country quickly and profitably. He further stated that Bitcoin would allow for greater financial inclusion.

Artero added:

“The Bitcoin Law is all about plundering people’s pockets; it’s tax free, they want to force us to trade.

According to a local media outlet, Guevara and his colleagues are not the only ones who disagree with the new Bitcoin law. The Salvadoran Chamber of Commerce survey found that 80% of Salvadorans would not agree to receive payments in the flagship cryptocurrency.

The strong opposition builds on the country’s long history of significant corruption in Salvadoran public and private life. According to The Economist, El Salvador’s hybrid regime led Latin American states to decline towards authoritarianism in 2020.

As citizens continue to fear corruption, Transparency International’s Corruption Perceptions Index assessed El Salvador’s treatment of corruption at 36/100 last year.

Back to top button