Monday, January 24

Former BC president of Argentina says he should have bought Bitcoin

Former BC Argentina president Guido Sandleris got into a controversy on his Twitter last Thursday (23), and declared that he should have bought Bitcoin when he was in front of the job.

Guido served at BC Argentina as indicated by former president Mauricio Macri, from September 2018 to December 2019. During his tenure, he ended up taking out a loan with the International Monetary Fund (IMF), which gave him a headache until today.

The Central Bank of Argentina is the country’s monetary policy authority and is responsible for issuing the Peso, a currency whose “symbol” is the drop in purchasing power due to the high inflation experienced by the country in recent years.

Former BC president of Argentina suggests that he should have bought Bitcoin instead of borrowing from the IMF

Bitcoin is a digital currency that has experienced a great appreciation in the market in recent years. In 2021 alone, the rise of digital currency surpasses 80%, after a 300% rise against the Dollar in 2020.

In other words, as a store of value for those who took this in recent years, the scenario remains positive. Totally opposite situation is for those who kept fiat money as a reserve, given their enormous purchasing power.

And one of those responsible for running Argentina’s BC in recent years hinted that he should have bought Bitcoin with the country’s reserves, a situation that could have turned out better for him.

“A problem with the report is analyzing everything with the Monday newspaper. Decisions must also be evaluated against the information available at the time of decision making. With the Monday paper, for example, we should have bought bitcoins with reserves and that’s it.”

Guido Sandleris is being investigated in Argentina for crimes against the administration and has been blamed by the government of current President Alberto Fernández of having incurred a debt to the IMF in 2018 that was supposed to fund Macri’s reelection, which he did not.

In the content published by the IMF, according to the BAE Business, the global fund confesses that it lent money to a fragile Argentina and that this should have been better studied. After the loan granted by the IMF, there was a flight of capital from the country, a case considered an important failure of the measure to inject money into the economy.

Former BC president blamed current government for loan failure

In his Twitter mea culpa, Guido Sandleris said he agrees with many of the report’s points. published by the IMF in recent days. The International Monetary Fund said that this loan granted to Argentina served as a lesson in what not to do, and that in the future they will have to adopt more realistic attitudes.

But for Guido, the root cause of the problem is the return of “kirchnerism”, which occurred in 2019 with Alberto Fernández, which caused a distrust in the market and, consequently, the reforms expected by the agreement with the IMF.

In any case, when considering that he should have bought Bitcoin, he may have been ironic and made it clear that when he made the decision to receive the loan, the situation was different from the current one, but a former president of a Central Bank caught the attention consider this action.