# Analyst: El Salvador Proved Bitcoin Not Destined as Money

**Published:** 2026-06-12T12:00:21.811Z  
**Topic:** El Salvador Bitcoin  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/adebae4e-6d04-4d4e-9f40-8d19c6b1ad07

Analyst JP Koning argues El Salvador's Bitcoin experiment failed as a payments tool despite government mandates, citing low adoption and high volatility.

An analyst has concluded that El Salvador’s high-profile adoption of bitcoin as legal tender demonstrates the cryptocurrency is not destined to function as money. JP Koning argues that despite government mandates and subsidies, bitcoin failed to gain traction as a payment method due to its inherent volatility [2].

**Key takeaways**
*   Analyst JP Koning claims the experiment proved Bitcoin is not money [2].
*   Bitcoin remittances dropped to 0.87% by late 2024 [2].
*   El Salvador stripped mandatory legal tender status in 2025 [1].
*   The government continues to accumulate bitcoin, holding 7,677 BTC [

## Sources
1. Bitcoin Magazine — [Five Years On, El Salvador Is Still Buying Bitcoin](https://bitcoinmagazine.com/news/five-years-on-el-salvador-bitcoin)
2. Benzinga — [El Salvador Proved 'Bitcoin Is Not Destined To Be Money,' Analyst...](https://www.benzinga.com/markets/cryptocurrency/25/02/43654402/el-salvador-proved-bitcoin-is-not-destined-to-be-money-analyst-says)
3. Wikipedia — [Bitcoin - Wikipedia](https://en.wikipedia.org/wiki/Bitcoin)

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Cite as: TrendWatcher, "Analyst: El Salvador Proved Bitcoin Not Destined as Money", https://www.trendwatcher.in/article/adebae4e-6d04-4d4e-9f40-8d19c6b1ad07