El Salvador

An Analysis of the Monetary Integration Law and the Bitcoin Law

Bibliographic Data

ID4368615
AuthorsSergio Luis Náñez Alonso (0000-0001-5353-2017, Catholic University of Ávila), Miguel Ángel Echarte Fernández (0000-0001-6494-6506, Catholic University of Ávila), David Sanz Bas (0000-0003-0983-2965, Catholic University of Ávila), Cristina Pérez Rico (0000-0002-4154-5483, Universidad Rey Juan Carlos)
Year2024
Volume44
Issue1
Pages189-209
Publication date2024-01-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueBrazilian Journal of Political Economy (JOURNAL)
Journal identifiersISSN: 0101-3157 • E-ISSN: 1809-4538
PublisherFapUNIFESP (SciELO) (PUBLISHER)
DOI10.1590/0101-31572024-3459
OpenAlexW4389898133
SCIELO_PIDS0101-31572024000100189
LanguageEN
Citations received2
References cited31

The objective of this article is to analyze the two most important monetary laws that have been implemented in El Salvador, namely the Monetary Integration Law (MIL) and the Bitcoin Law. The most important articles of both laws will be analyzed, as well as the consequences of dollarization, and the possible advantages and risks associated with the adoption of Bitcoin as legal tender. Although this measure may have some positive aspects by encouraging financial innovation and facilitating remittances, the macroeconomic risk is very high due to the volatility of this cryptocurrency. So far no positive results have been achieved as the acceptance has been very low and there has been a depreciation of the asset in recent months

Asset (computer security · Computer security · Cryptocurrency · Depreciation (economics · Economics · Financial economics · Market economy · Monetary economics · Political science · Volatility (finance · Banking stability, regulation, efficiency · Blockchain Technology Applications and Security · Crime, Illicit Activities, and Governance · Law

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Open DOIOpen Access