El Salvador Bitcoin Experiment Not Working Say Residents

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  • 71% of Salvadorans recently surveyed have said that Bitcoin isn’t working for them
  • The Central American University found that only 6.1% reported having obtained significant benefits from Bitcoin’s introduction
  • El Salvador legalised Bitcoin a year ago this Thursday

Almost one year after it was voted in as a legal currency, 71% of Salvadorans have felt no benefit from the implementation of Bitcoin. A survey conducted by the Institute of Public Opinion of the Central American University found that only 6.1% reported having obtained significant benefits following Bitcoin’s implementation last year, while 12.8% said that the Bitcoin law had brought few economic benefits to their families. The reality of the situation is very different from the image presented by president Nayib Bukele, who continues to put the country into debt by buying bitcoin.

Bitcoin Doubts Becoming Realised

El Salvador legalised Bitcoin on June 9, 2021, but right from its inception there were doubts it would actually benefit the country, and it seems that the experiment is not working for many. The study found that 71% of those surveyed reported no benefit “at all” to their personal circumstances, despite the fervour with which the Bitcoin launch was greeted by Bukele and others in government.

Only 6.1% claimed to have experienced significant benefits thanks to Bitcoin being part of their everyday lives, which is a damning indictment of the ideals behind the introduction, which looks even more like nothing more than Bukele sticking two fingers to the IMF and the World Bank.

Chivo Wallet Has Seen Low Uptake

The lack of real word uptake of Bitcoin in El Salvador can be evidenced by the fact that a February survey revealed how low the uptake of the Chivo Wallet was – only 20% of those who spent the $30 bonus continued to use the Chivo Wallet afterwards, despite incentives offered by the Government to do so.

It seems that Salvadorans are short of incentives to use Bitcoin because of Bitcoin itself rather than anything the government is or isn’t doing, which is something that can’t change overnight.