El Salvador has once again increased its Bitcoin holdings, acquiring 21 BTC in the past week, bringing the government’s total BTC reserves to 6,068.18 BTC. This action demonstrates President Nayib Bukele’s commitment to his Bitcoin plan, despite pressure from international financial institutions such as the International Monetary Fund (IMF).
El Salvador has added 21 BTC to its holdings this week!
Total BTC Holdings: 6,068.18 BTC
Total Added Today: +1 BTC
Total Added in the Past 7 Days: +21 BTC
Total Added in the Past 30 Days: +60 BTC
The world’s first Strategic Bitcoin Reserve continues to grow, and El Salvador… pic.twitter.com/iz2x9CGbuu
— The Bitcoin Office (@bitcoinofficesv) February 4, 2025
El Salvador Ends Bitcoin’s Legal Tender Status
As previously reported, El Salvador has ended Bitcoin’s legal tender status. It is now completely voluntary, and businesses are not required by the government to accept BTC as a form of payment.
This decision was made in response to El Salvador’s request for a $1.4 billion loan from the IMF. One of the IMF’s conditions was reducing Bitcoin’s influence on official transactions. In other words, the Salvadoran government has chosen a compromise: maintaining Bitcoin as a strategic asset while decreasing its presence in the formal sector.
Bukele Sticks to His Strategy
President Bukele continues to acquire Bitcoin despite regulatory developments. Some observers believe that the government intentionally purchased Bitcoin at a lower price in order to make a profit in the long term. Bukele himself has repeatedly stated that Bitcoin is “digital gold” and believes its value will only increase in the future.
Mixed Reactions and Global Interest in Bitcoin Policy
This measure has generated conflicting opinions among the people of El Salvador. While some applaud the government’s decision to continue investing in cryptocurrency, seeing it as a long-term economic opportunity, others are concerned about the volatility of BTC and its potential impact on national budgets.
Internationally, El Salvador’s actions continue to attract attention. Even major cryptocurrency companies now view the country as a regulatory haven for the blockchain sector. For example, Tether, the issuer of the USDT stablecoin, has relocated its headquarters to El Salvador. This indicates that the nation remains a focal point in the crypto scene, despite changing regulations on Bitcoin usage.
Nevertheless, El Salvador is still an experimental case for Bitcoin adoption on a global scale. Will Bukele’s approach mitigate risks or prove successful in the long run? Only time will tell. One thing is certain, however: the nation is not ready to give up on Bitcoin, and its acquisition of the cryptocurrency continues.