During an appearance on TV channel four’s Frente a Frente interview show, the former member of the Legislative Assembly assured that bitcoin is priced at $16,740 today, barely touching the level of years ago. One day, it surged to more than $69,000.
He said that while El Salvador is trying to hold on to this crypto activity, some countries are trying to exit due to the failure of this bet, which is now heavily based on speculative moves.
The issue caught the attention of pundits and analysts after the chaos of FTX, a Bahamas-based cryptocurrency exchange that was the third-largest cryptocurrency exchange in the world, went bankrupt.
In recent weeks, the virtual assets market has been hit hard by the collapse of industry giant FTX and the arrest of its founder Sam Bankman-Fried in the Caribbean.
According to an analysis by BBC Mundo, Bitcoin is used to taking a beating, but this “anti-system” fighter was already on the ropes after its most painful year yet.
Pundits and analysts, including Nobel laureates in economics like Paul Krugman, who believes Bitcoin is a scam, estimate that many people buy Bitcoin without really understanding it and that it is in fact a Ponzi scheme in which everyone thinks, that they will win and neither, that they can be left with an empty sack.
Another awardee like Joseph Stiglitz thinks Bitcoin should be banned. According to him, the reason for this is to have a currency outside the control of governments, and the goal is clear: money laundering and tax evasion.
As for the future of this “currency,” President Nayib Bukele, an ardent defender of fortune, recently announced that he will buy one bitcoin every day, although some say he would be flat on his back if the cryptocurrency were a boxer stargazing on the screen.
The situation is difficult because after several years of promising results, which some experts even say will continue, Bitcoin started suffering losses since November 2021 and has since deteriorated, with ongoing blows and scandals that keep it at its bottom left behind years of value, trust and emotion.
“This is a terrible time for the cryptocurrency space and we could see even worse days following the recent FTX scandal. It is a defining moment for cryptocurrencies,” said Stefen Deleveaux, President of the Caribbean Blockchain Alliance, as quoted by BBC Mundo.
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