Salvadorians who happen to be against the new Bitcoin legal status under the aegis of the Farabundo Marti National Liberation Front (FMNL) party have risen against the government over the Bitcoin law passed by the legislator recently.
The group properly filed a lawsuit to reverse the law claiming that President Bukele’s Bitcoin adoption program is unconstitutional.
Mixed reaction trails El Salvador Bitcoin adoption
From the moment the Bitcoin law was passed, it led to mixed reactions among Salvadorians.
Jaime Guevara, a lawmaker under the Farabundo Marti National Liberation Front (FMNL) party led others who are against the Bitcoin law to file the lawsuit.
Local media in Spain reports that Guevara and a group of citizens who filed the lawsuit described Bitcoin’s legal tender status as “unconstitutional.” Oscar Artero, a citizen plaintiff on the lawsuit against the new law said the lawsuit was filed because the policy lacked a legal basis and failed to consider the harmful effects on the country.
He stated, “The bitcoin law is to loot people’s pockets, it is tax-exempt. They want to force us to trade.” He added that he hopes the Constitutional Chamber of the Supreme Court of Justice, the country’s top judicial branch, would side with his argument.
Why Bitcoin law should be reversed
Enrique Anaya, a Salvadorian lawyer in his comments said that the Presidency was not clear on how to implement the Bitcoin law but went ahead passing the law. He said he believes that the lawmakers may have even initiated the lawsuit internally.
Another reason was the fact that a survey carried out on 1,600 individuals by the Chamber of Commerce and Industry of El Salvador between June 11 and 15 revealed that more than eight out of ten Salvadorans would not agree to receive payments and salaries in Bitcoin.
Lastly, the country’s minister of labor and Social Welfare, Rolando Castro, said the country is not yet ready to adopt Bitcoin for salary payments.
Previously, a professor of Applied Economics at John Hopkins University, Steve Hanke has said that El Salvador’s adoption of Bitcoin (BTC) as legal tender has the potential to “completely collapse the economy.
All these crises started after June 9 when the country’s legislature passed a law by overwhelming majority making Bitcoin a legal tender in the country.