El Salvador Plans Changes for Chivo Wallet

SAN SALVADOR (Reuters) – El Salvador's official digital bitcoin wallet, Chivo, is set to be sold or discontinued, according to an official announcement on Thursday. This news follows the country’s recent agreement with the International Monetary Fund (IMF).

Stacy Herbert, the director of the national bitcoin office, emphasized that while the Chivo wallet may be discontinued, bitcoin will remain a legal tender in El Salvador. The government plans to continue purchasing the cryptocurrency, potentially at an accelerated rate to bolster its strategic reserves.

On Wednesday, El Salvador finalized a $1.4 billion loan deal with the IMF, which included commitments to adjust its bitcoin policies, a significant move since the country became the first in the world to recognize bitcoin as legal tender in 2021.