El Salvador made history two weeks ago. El Salvador then became the first country in the world to recognize bitcoin (BTC) as an official money and legal tender. The law was then passed to thunderous applause, but not everyone in the country is happy with it.
One of the largest opposition parties in the country, Farabundo Marti National Liberation Front (FMNL), led by Jaime Guevara, has filed suit against President Nayib Bukele’s law. That reports the Spanish-language El Mundo on June 21.
A group of citizens have already joined the lawsuit, including Oscar Artero. Artero says the lawsuit is being filed because President Bukele’s law has no legal basis at all. The law would also not take into account possible harmful effects on the land.
Artero believes that the bitcoin law only serves to loot people because it is tax-exempt. He indicates that he has high hopes for the country’s supreme court and thinks the judges will join his arguments.
If the judges do indeed agree with the accusers, it could therefore mean that the bitcoin law is declared illegal. That could then mean that the party is canceled for the time being. However, the chance does not appear to be very great, as President Bukele’s party had replaced a number of judges earlier this year. At the time, however, this was seen as highly controversial and as a violation of the rule of law.
El Salvador recently submitted a request to the World Bank. The country asked for help with the implementation of Bitcoin as a means of payment, but the World Bank refuses to help and has rejected the request. Despite this, Paraguay is also going to try and perhaps submit a bill for Bitcoin this month.