El Salvador recently added 12 Bitcoin to its national reserve, even after committing to scale back some of its cryptocurrency initiatives as part of an agreement with the International Monetary Fund (IMF).
On Jan. 19, the National Bitcoin Office announced via X (formerly Twitter) that the country acquired 11 Bitcoin for its Strategic Bitcoin Reserve, worth over $1 million. Another Bitcoin purchase followed on Jan. 20, valued at $106,000.
El Salvador’s Bitcoin tracker reports the nation now holds 6,044 BTC, with a total value of approximately $610 million based on the current trading price of around $101,000 per Bitcoin, as per CoinGecko data.
Bitcoin saw a sharp rise on Jan. 20, briefly surpassing $109,000 and setting a new all-time high. The previous record, $108,000, was reached on Dec. 17.
This price surge coincided with major global events, including Donald Trump’s inauguration as the 47th U.S. president at 4:00 p.m. UTC.
In December, President Nayib Bukele’s administration secured a $1.4 billion financing deal with the IMF. As part of the agreement, El Salvador pledged to scale back some of its Bitcoin-related policies, such as making Bitcoin acceptance optional for private businesses and reducing government involvement in the Chivo wallet initiative.
Despite these commitments, the government resumed Bitcoin purchases the very next day. Stacy Herbert, director of the National Bitcoin Office, stated on X that El Salvador’s Bitcoin strategy remains unchanged.
El Salvador made history in September 2021 as the first country to declare Bitcoin legal tender following the adoption of its Bitcoin Law.
As of Jan. 20, the country’s Bitcoin holdings had reportedly generated $179 million in profit, according to the Nayib Bukele portfolio tracker.
However, local surveys indicate that Bitcoin usage among Salvadorans remains low. A study conducted in October revealed that 92% of residents do not use Bitcoin for transactions, up from 88% in 2023.
El Salvador isn’t alone in its efforts to bolster its Bitcoin reserves. Bhutan, a small South Asian nation, has quietly been mining Bitcoin for several years. Blockchain analytics firm Arkham Intelligence disclosed in September that Bhutan holds around $780 million in digital assets.
For more news, find me on Twitter Giannis Andreou and subscribe to My channels Youtube and Rumble
What is your opinion on this particular topic? Leave us your comment below! We are always interested in your opinion!
