It seems President Nayib Bukele of El Salvador needed more than just his bitcoin experiment to keep his administration afloat. He has now agreed to tough loan terms from the International Monetary Fund (IMF) to secure vital funding.

The financial disclosure conditions of this new 40-month, $1.4 billion loan arrangement are quite strict, requiring the doxxing of wallet addresses and BTC holdings for all legal persons controlled by the state, including Chivo users within the government.

These disclosures, which compel the sharing of names and wealth details, add to the already stringent conditions the IMF has imposed on the country as part of this $1.4 billion lifeline.

Bitcoin has already been stripped of its legal tender status in the nation. Now, the IMF is forcing El Salvador to take another step back from its use of BTC by doxxing legal persons controlled by the state who own the cryptocurrency. Bukele has even agreed to completely shut down the Chivo system.

The IMF believes these measures will reduce the risks associated with El Salvador’s exposure to Bitcoin’s volatile price movements and pseudonymity.

On its best behavior to pass performance reviews

Despite agreeing to these terms, Bukele’s administration won’t see the full $1.4 billion immediately. Instead, the IMF has put in place a series of milestones to ensure El Salvador adheres to the terms. As the country passes each review, it will receive subsequent disbursements of funds.

The first tranche of funds is set at $200 million, valued in special drawing rights (SDRs), and is linked to a milestone review expected at the end of March.

Chivo’s Troubled History: Launch Fiasco, Now a Doxxing Tool

Chivo’s debut in El Salvador was highly contentious from its inception, and notably, it coincided with a 30,000% increase in a pink sheet-listed company, Athena Bitcoin Global. Shares of Athena peaked at $46.50 when Chivo was initially announced, yet currently trade at just five cents.

The company’s account opening bonus also unintentionally incentivized identity theft, while its hacked ATM network struggled to remain reliably online for months after launch. By the end of the year, it’s slated to shut down completely.

Press workers in Bukele’s administration have attempted to deflect attention from the roll-back of BTC to avoid embarrassment at the scuttling of once-grand plans. Official social media accounts that used to promote BTC investments, “Bitcoin cities,” mines, social programs, and capital projects now heavily feature El Salvador’s firework-filled celebrations, expat-focused real estate offerings, newly built high-security prisons, and supposed sizable gold holdings.