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January 29, 2025Law & sovereign policyLegislationdocumented

El Salvador makes private Bitcoin acceptance voluntary

El Salvador's assembly amended the Bitcoin Law to remove mandatory private acceptance and limit public-sector involvement.

The reform preserved a legal framework for voluntary private Bitcoin transactions but removed core features of the 2021 legal-tender mandate. It also shifted tax payments to U.S. dollars and was enacted as a prior action for the IMF program, with the amended text taking effect on April 30.