El Salvador’s crypto wallet is dysfunctional with blocked accounts and failed transactions, users claim

Users of El Salvador’s government-backed crypto wallet, Chivo Wallet, have reported issues with the app, including blocked accounts, failed transactions, and unauthorized transactions, reported digital asset outlet The Block.

After making Bitcoin legal tender, the Salvadorean government introduced their official Bitcoin wallet, Chivo, in September of last year. The wallet allowed citizens to access the $30 worth of bitcoin given to all Salvadorans by President Nayib Bukele.

Around 1,200 users reported problems with the wallet to the human rights organization Cristosal. The issues with the app include claims of unauthorized charges and transactions, blocked accounts, pending transactions, identity theft, and phishing schemes.

Many users have claimed that their personal information was stolen and used to open accounts in their name and steal their bitcoin. In October alone, Cristosal received 755 complaints of identity theft used to open Chivo wallets.

Others reported a large amount of bitcoin missing from their app. People have lost anywhere from $100 to $16,000 BTC through unauthorized transactions. These cases alone represent $96,223.83 that were stolen from the app.  

Despite complaining about these issues, users have not received any help from the helpline or the government. Additionally, many users have reported scams that target people who ask for help on social media.