Fitch Downgrades El Salvador’s Issuer Default Rating February 11, 2022 February 11, 2022 Kelly Cromley http://1AZFjzw2#Nwf63pYaMWq#xIY
Market NewsFebruary 11, 2022 by Kelly Cromley

Fitch Downgrades El Salvador’s Issuer Default Rating

While McDonald’s is the latest brand to enter the metaverse, Fitch recently lowered El Salvador’s long-term foreign currency Issuer Default Rating (IDR) to CCC from B-, citing concerns associated with Bitcoin adoption. There has been an increase in policy unpredictability due to weakening institutions and the concentration of power in the president, according to a Fitch commentary.

A 40-year peak in inflation has led to anticipation that the US Federal Reserve may hike interest rates, which sent the global crypto market into freefall this morning. There was a 14.86% drop in the global crypto market capitalization to $1,72 trillion. As of 8.30 a.m., Coinmarketcap reported a 22.42 percent drop in crypto trading volume to $59.07 billion. It was down 1.56 percent at $43,150.77 for Bitcoin (BTC) and down 4.8 percent for Ethereum (ETH).

Even when US markets fell, Bitcoin couldn’t hold a price higher than $44,000. In the medium term, support for the market leader is around $43,000, with resistance likely around $46,000. As a result of Ether’s recent decline, other cryptocurrencies are also trading lower, according to Bitbns CEO and founder, Gaurav Dahake.

Ether is now trading at $3,061.81. Coins such as Cardano (ADA) and Algorand (ALGO), dubbed the Ethereum killer, both fell 3.22 percent to $1.14 and had a market valuation of $6,383,814,313, respectively. At $412.15, Binance Coin (BNB) was down 1.11 percent, while Solana (SOL) dropped 6.21 percent and Polkadot (DOT) down 6.29 percent.

Sonic Token (SONIC) has surged 4764.31 percent to $0.0001432 in today’s trading. WalMeta (WALMETA) was the biggest loss, falling 99.95% to $0.00005428. Dogecoin (DOGE) was trading at $0.1521, down 4.19 percent. It has a volume to market capitalization ratio of 0.05441 percent. At $0.00003052, Shiba Inu (SHIB) was down 5.92 percent.

Elon (ELON) was trading at $0.000001042 with a loss of 4.84 percent. Floki Inu (FLOKI) and Samoyed Coin (SAMO) were both down 14.11 and 5.1 percent, respectively, at $0.00004479 and $0.02781. YFI ( was trading at $24,381.46 with a loss of 4.74% in the DeFi category. There was a 6.38 percent drop in Terra (LUNA) and a 1.45 percent gain in Avalanche (AVAX).
It was down 5.29 percent for Uniswap (UNI) to $11.35, while it was down 4.26 percent for Aave (AAVE).

In the meanwhile, a trademark submitted by McDonald’s with the US Patent and Trademark Office reads “downloadable multimedia files comprising artwork, text, audio, and video files and non-fungible tokens.”

According to, this raises the possibility that McDonald’s will be the next brand to enter the metaverse and crypto world. According to Fitch, the long-term foreign currency Issuer Default Rating (IDR) for El Salvador has been downgraded from B- to CCC.

“With a $800 million Eurobond due in January 2023, the government has just $305 million in external debt amortisations in 2022, but $1.2 billion in 2023.”

With a short-term debt rollover of $1.2 billion and approximately $1 billion in multilateral disbursements, Fitch predicts a funding need of $1.2 billion in 2022. By 2023, the deficit is expected to reach $2.5 billion, according to Fitch’s analysis.

AuthorKelly Cromley

Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.