Honduras Denies Rumors of Making Bitcoin Legal Tender

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Alex Dovbnya

No, Honduras is not making Bitcoin its official currency

The Central Bank of Honduras has denied rumors that Bitcoin would be adopted as legal tender, according to a statement posted earlier this Wednesday.

The central bank has clarified that it is the only issuer of notes and coins in the country in accordance with the law. At the same time, it has made it clear that it “does not monitor or guarantee” payments using crypto.

Bitcoin remains unregulated in Honduras and most countries do not recognize it as an official currency.

The Central American country says it will continue to assess the feasibility of developing a central bank digital currency.

The central bank’s statement comes after rumors that Honduras would use Bitcoin as its official currency began circulating on Twitter earlier this week. However, they have now been proven to be totally false.

After El Salvador, a penniless country in Central America, made Bitcoin legal tender in September, many community members assumed other nation-states would follow suit. BitMEX CEO Alexander Höptner predicted that up to 10 countries would become the largest legal tender for cryptocurrency by the end of 2022.

So far, this has not been the case, with multiple countries, such as Mexico, explicitly denying any plans to adopt Bitcoin.

Meanwhile, El Salvador’s own cryptocurrency experiment appears to be on shaky ground after it has postponed issuance of its acclaimed Bitcoin bonds.

In addition, Bitcoin adoption is struggling to gain traction in the country. According to a recent survey, a whopping 86% of merchants have not made a single transaction with the largest cryptocurrency.

In other news: Sint Maarten is considering using Bitcoin Cash as its official currency.

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