HomeNewsParaguay Clarifies Bitcoin Legal Tender Announcement Was Presidential Account Hack

Paraguay Clarifies Bitcoin Legal Tender Announcement Was Presidential Account Hack

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  • President Peña’s X account was hacked Monday to falsely claim Paraguay adopted Bitcoin as legal tender with a $5M reserve.
  • The fake post included a Bitcoin wallet address and English text urging investments, unlike his usual Spanish messages.

The office of Paraguayan President Santiago Peña confirmed his official social media account was compromised on Monday. Unauthorized individuals used the account to falsely announce Paraguay had adopted Bitcoin as legal tender. The fabricated post also claimed Paraguay established a $5 million Bitcoin reserve fund and offered citizens crypto-based bonds.

Government officials stated the President’s X account showed “irregular activity suggesting possible unauthorized access.” They issued this clarification after Reuters reported the hack. The false announcement spread rapidly online before the government response.

The fraudulent post contained clear warning signs

It included a specific Bitcoin wallet address alongside text implying public deposits could influence the policy. “Investors: your investment today will determine the scale of this deployment” read the post, later deleted.

That wallet held only $4 worth of Bitcoin when examined. Furthermore, the message appeared in English, unlike nearly all other posts from the President’s Spanish-language account. Several media outlets initially reported the claims as factual.

This event follows a known pattern

Hackers frequently target high-profile social media accounts seeking cryptocurrency scams. In 2020, compromised accounts of figures like Elon Musk, Barack Obama, and companies like Apple promoted fake crypto giveaways. Even the U.S. Securities and Exchange Commission’s X account fell victim to hackers in January 2024.

Had the announcement been real, Paraguay would have become Latin America’s second country to grant Bitcoin legal tender status, after El Salvador’s 2021 move. Paraguay is not pursuing this currently.

However, Paraguayan lawmakers are drafting rules to oversee cryptocurrency operations. The country actively seeks cooperation with El Salvador on crypto matters and attracts Bitcoin miners due to its accessible energy resources.

BTCUSDT_2025-06-09_15-33-24
Source: BTC/Tradingview

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Isai Alexei
Isai Alexei
As a content creator, Isai Alexei holds a degree in Marketing, providing a solid foundation for the exploration of technology and finance. Isai's journey into the crypto space began during academic years, where the transformative potential of blockchain technology was initially grasped. Intrigued, Isai delved deeper, ultimately making the inaugural cryptocurrency investment in Bitcoin. Witnessing the evolution of the crypto landscape has been both exciting and educational. Ethereum, with its smart contract capabilities, stands out as Isai's favorite, reflecting a genuine enthusiasm for cutting-edge web3 technologies. Business Email: [email protected] Phone: +49 160 92211628
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