Protests in El Salvador intensified after Bitcoin officially became legal tender

Protests intensified in El Salvador following the passing of the Bitcoin Law. Discontent has been brewing in the nation since President Bukele first introduced the bill, but the number of protestors outside of the capital grew following the 10% drop in Bitcoin’s price immediately following the law’s enactment. Many citizens protesting are concerned about the price volatility of Bitcoin (BTC) and how that exposes people to a loss. Most recently, a Bitcoin ATM was set on fire, and armed riot police were deployed on a protest at the capital.

Zoom Out: Jack Maller, the CEO of Strike, the company behind El Salvador’s wallet infrastructure, countered volatility claims by iterating that the Chivo wallet enables transactions and holdings in both dollars and bitcoin, saying that the legislation does not force Bitcoin on anyone. During the 2021 Bitcoin Conference, President Bukele emphasized that making Bitcoin legal tender would increase the accessibility of remittances and enable the financial inclusion of 70% of Salvadorians who are unbanked.