In a recent study published by José Simeon Cañas of the University of Central America in El Salvador, 77.1% of respondents said they want the Salvadoran government to stop “spending public money on bitcoin.”
Moreover, only 24.4% of respondents stated that they used Bitcoin (
) as a means of payment, since last year the government of the country recognized it as legal tender.
The study, conducted by the private but not-for-profit University of Central America, polled local residents in El Salvador about their views on Legislative Decree No. 57, which recognized bitcoin as legal currency in El Salvador on September 7, 2021. of 1269 valid interviews were collected during September 2022 with a margin of error of 2.75% at a 95% confidence interval.
While there is no direct causal relationship between bitcoin adoption and the economic situation in the country, 95% of respondents said their lives have “stayed the same” or “worse” since bitcoin became legal tender. Head of State Najib Bukele is known for his bitcoin crackdown aimed at attracting tourism and foreign investment. Last year, Bukele proposed the creation of a “Bitcoin City” where nominal tax rates would be set at 0% and the construction would be funded by a $1 billion Vulcan Bitcoin bond.
The politician and blockchain personality is also known for touting frequent BTC purchases through the country’s national budget. According to Nayiba Bukele’s wallet tracking system, the El Salvadorian government has spent more than $107 million buying bitcoin. However, despite the average dollar value, the investment is currently only $45.7 million after this year’s bear market. However, it should be noted that the portfolio tracker only tracks public announcements and that reported gains and losses may not be entirely accurate without access to the government’s full trading records.