El Salvador has once again increased its Bitcoin holdings, with the government purchasing 21 BTC in the last seven days. This brings the total BTC reserves of the government to 6,068.18 BTC. Despite pressure from international financial institutions like the International Monetary Fund (IMF), President Nayib Bukele remains committed to his Bitcoin plan.
The official Twitter account of The Bitcoin Office in El Salvador announced the new purchase, stating that the country’s Strategic Bitcoin Reserve (SBR) continues to grow. The tweet also revealed that a total of 1 BTC was added today, 21 BTC were added in the past seven days, and 60 BTC were added in the past 30 days.
In a recent development, El Salvador has ended Bitcoin’s legal tender status. Businesses are no longer required by the government to accept BTC as a form of payment. This decision was made after the country sought a $1.4 billion loan from the IMF, which had demanded a reduction in Bitcoin’s influence on official transactions. The Salvadoran government has chosen to compromise by maintaining Bitcoin as a strategic asset while diminishing its presence in the formal sector.
President Bukele continues to acquire Bitcoin despite these regulatory changes. Some observers speculate that the government purposely bought Bitcoin at a low price in order to profit in the long term. Bukele himself has repeatedly referred to Bitcoin as “digital gold” and believes its value will only increase in the future.
The reaction to El Salvador’s Bitcoin policy has been mixed among the people. While some applaud the government’s decision to invest in the cryptocurrency as a long-term economic opportunity, others express concerns about the volatility of BTC and its potential impact on national budgets.
Internationally, El Salvador’s actions have attracted attention. Some major cryptocurrency firms, such as Tether, have relocated their headquarters to the country, seeing it as a regulatory paradise in the blockchain sector. Despite changing regulations around Bitcoin usage, El Salvador remains a focal point in the crypto scene.
However, the adoption of Bitcoin in El Salvador is still an ongoing experiment. The success or risks of Bukele’s approach are yet to be determined. One thing is certain though, the nation is determined to hold onto Bitcoin, and the government’s buying of the cryptocurrency continues.