President Nayib Bukele revealed that El Salvador’s Bitcoin reserves have soared, generating an unrealized profit near $400 million as BTC reaches historic highs.
National reserve hits new milestone
El Salvador’s Bitcoin holdings are now estimated to yield between $350 million and $400 million in unrealized gains. This leap comes after the country accumulated roughly 6,100 BTC through a daily purchase strategy that began in 2022. With Bitcoin recently crossing the $100,000 mark, the total reserve value has climbed beyond $600 million, making it one of the most aggressive national bets on digital assets.
Bukele’s confidence in the strategy
Bukele shared updated charts of the reserve on his social channels, celebrating the milestone with a confident “I told you so.” Despite ongoing warnings from the International Monetary Fund, he reaffirmed El Salvador’s commitment to continue purchasing one Bitcoin every day. The IMF, which is negotiating a $1.3 billion package with the country, has maintained that Bitcoin adoption should be strictly voluntary to avoid macroeconomic risks.
Local adoption and global scrutiny
Even with these profits, day-to-day use of Bitcoin in El Salvador remains relatively low, with surveys indicating that only around 8 to 14 percent of citizens regularly transact with it. Meanwhile, international observers continue to debate whether Bukele’s approach could inspire similar reserve diversification in other nations or end up as a cautionary tale of market volatility.
Will El Salvador keep doubling down on Bitcoin, or will economic pressures force a pivot back to traditional reserve strategies?
