Amid Backlash From IMF, El Salvador Changes Tech Provider For ‘Chivo’ Wallet

El Salvador has changed the frontend and backend technology provider for its "Chivo" wallet to fix a series of problems that have plagued its state-run Bitcoin wallet.

Crypto software firm AlphaPoint will be providing technology for the Chivo wallet.

“AlphaPoint, which provides financial technology to institutions globally, is adding its expertise to offer financial services and access to Bitcoin for millions of Salvadorans who are active using the Chivo wallet," the government said in a release.

This comes despite the International Monetary Fund's recommendation for the country to drop the use of Bitcoin as currency. The El Salvadorian government has rejected the recommendation.

According to the official statement, AlphaPoint will support the frontend and backend infrastructure that powers the wallet and integrates the entire ecosystem including the mobile application, mobile point-of-sale processing, merchant website portal, call-centre support software and administrative console.

"El Salvador and President Bukele are truly leading globally with this first major experiment in Bitcoin adoption at a country-wide level,” Igor Telyatnikov, co-founder and CEO of AlphaPoint said. “No one else has attempted to execute a project of this size.”

In September, El Salvador became the first country to adopt Bitcoin as legal tender, as the government launched the Chivo wallet to facilitate Bitcoin transactions in the country.

Chivo wallet is a digital wallet for the citizens of El Salvador to facilitate transactions in Bitcoin. The government deposited $30 in Bitcoin in every citizen's Chivo wallet as ‘seed money’ to set in motion Bitcoin transactions.