“Adoption of Bitcoin as legal tender raises a number of macroeconomic, financial and legal issues that require very careful analysis,” said Rice. “We are following developments closely, and we’ll continue our consultations with the authorities.”

This is yet another one of my series of posts concerning the potential implications of El Salvador's adoption of BTC as legal tender. Whatever the reasons for doing so, the move will inevitably force international institutions and other countries to react because it brings BTC into the traditional international system. If you read the previous articles I've posted on the matter this means that BTC can creep into laws of the countries that recognize El Salvador as a sovereign state for example. Very interesting developments ahead. Its basically a case study of incorporating a totally new and exogenous asset class into the international financial system.