In a move that underscores El Salvador’s ongoing commitment to Bitcoin, the country has bought 12 Bitcoin in the past two days, continuing to expand its Strategic Bitcoin Reserve. Despite an agreement with the International Monetary Fund (IMF) to dial back some of its crypto-friendly policies, El Salvador’s National Bitcoin Office announced the latest purchase on January 19, 2025. The country added 11 Bitcoin to its reserves, valued at over $1 million, and bought another Bitcoin on January 20 for approximately $106,000.
As of January 20, El Salvador’s total Bitcoin holdings stand at 6,044 BTC, worth nearly $610 million, based on the cryptocurrency’s price of around $101,000. This is a significant holding for a nation that has made Bitcoin a central part of its economic strategy.
Bitcoin experienced a notable price surge on January 20, briefly exceeding $109,000, breaking its previous all-time high of $108,000 set in December 2024. The surge occurred just hours before U.S. President Donald Trump was sworn in, adding an extra layer of symbolism to the digital currency’s rise.
El Salvador’s continued investment in Bitcoin comes at a time when the cryptocurrency market is experiencing renewed enthusiasm, with Bitcoin’s recent price increase signaling growing confidence in digital assets.
El Salvador’s recent Bitcoin purchases may seem contradictory to its agreement with the IMF, which was reached in December 2024. As part of the $1.4 billion financing deal, the country agreed to wind down certain aspects of its Bitcoin strategy, including making the private sector’s acceptance of Bitcoin voluntary and unwinding government involvement in the Chivo crypto wallet.
Despite these changes, National Bitcoin Office Director Stacy Herbert insisted that the country’s Bitcoin plans remain largely unchanged. In an X post on January 20, Herbert confirmed that El Salvador’s commitment to Bitcoin as a reserve asset was still intact.
El Salvador made history in September 2021 when it became the first country in the world to adopt Bitcoin as legal tender. The introduction of the Bitcoin law allowed businesses to accept the cryptocurrency for goods and services, sparking global debate over the role of Bitcoin in national economies.
However, an October 2024 survey revealed that 92% of Salvadorans do not make transactions using Bitcoin, an increase from 88% in 2023. This suggests that while the country has taken a bold step in integrating Bitcoin into its economy, the general population has yet to fully embrace the cryptocurrency for everyday use.
As of January 20, 2025, El Salvador’s Bitcoin stockpile shows a profit of $179 million, according to the Nayib Bukele portfolio tracker. This gain reflects the country’s strategy of acquiring Bitcoin at various price points over the past few years. Despite the challenges and volatility associated with cryptocurrency markets, El Salvador’s Bitcoin holdings continue to be a key part of its financial strategy, with the country’s leaders showing little indication of slowing down.
El Salvador is not the only nation quietly accumulating Bitcoin. Bhutan, a small South Asian country, has also made significant moves in the cryptocurrency space. In September 2024, blockchain analytics firm Arkham Intelligence revealed that Bhutan had accumulated approximately $780 million in digital assets, primarily through Bitcoin mining.
Bhutan’s Bitcoin strategy, which remains largely under the radar, suggests that the country sees long-term value in digital assets, much like El Salvador. While both countries have different approaches to integrating Bitcoin into their national economies, they share a vision of diversifying their reserves with cryptocurrency.
El Salvador’s Bitcoin strategy has been a focal point for both supporters and critics. While the IMF deal has led to some policy changes, the recent Bitcoin purchases signal that the country remains committed to its long-term vision of incorporating Bitcoin into its financial infrastructure. As Bitcoin continues to gain value, El Salvador’s reserve strategy may become more influential in shaping the future of national cryptocurrency adoption.
For now, the country’s Bitcoin stockpile continues to grow, offering potential financial benefits if Bitcoin’s price continues to appreciate. However, the mixed usage of Bitcoin by the general population suggests that the path toward widespread adoption will take time, with the government’s role in pushing the cryptocurrency forward likely remaining critical in the years ahead.
Get $200 Free Bitcoins every hour! No Deposit No Credit Card required. Sign Up