Cryptocurrency

Salvadoran business leader slams Bitcoin amid brutal price crash

Twitter CEO Jack Dorsey and musician Jay-Z have pledged 500 bitcoin (around $23.3 million) toward ₿trust, an endowment to fund bitcoin development, Dorsey announced on Twitter today.

Renowned Salvadoran lawyer and businessman Javier Siman, who spearheads the National Association of Private Enterprises, has taken to Twitter to criticize Bitcoin’s volatility: “I warn you that I have nothing to do with the price of Bitcoin falling! This is the volatility risk that we have been pointing out.”

As reported by the media, Bitcoin crashed nearly 20 per cent to an intraday low of $42,900. The flagship cryptocurrency is still down 11 per cent, currently trading just below the $47,000 level.

On top of that, the state-run Chivo wallet temporarily went offline due to insufficient server capacity, with users not being able to download it from app stores.

Like many Salvadorans, Siman was caught off guard by recent comments by President Nayib Bukele’s legal advisor about Bitcoin acceptance being mandatory. As reported by the media, businesses that refuse to perform transactions in the country will face sanctions despite Bukele’s earlier reassurances.

Siman Warehouses, the largest department store in Central America, has started accepting Bitcoin in spite of the owner’s opposition to the controversial law that took effect earlier today.

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