The 3 Reasons Behind Bitcoin-Holder El Salvador's Deteriorating Creditworthiness
When El Salvador adopted bitcoin as legal tender in September, the move received a rapturous reception from the crypto community, with many predicting a change in the debt-ridden nation’s fortunes.Five months later, the perception of the country’s sovereign credit is four times worse than it was.El Salvador’s five-year credit default swap (CDS) has more than quadrupled to $1,800 since early September, according to Bloomberg data shared with CoinDesk by Marc Ostwald, the chief economist and global strategist at ADM Investor Services International (ADMISI). Credit default swaps measure the cost of insuring against a country defaulting on borrowing repayments any time…