The government of El Salvador currently possesses over 5.9K BTC and intends to persist in its implementation of the strategy to acquire one Bitcoin each day.
Arkham Intelligence data indicates that the El Salvadoran government has maintained its “1 Bitcoin a day” investment strategy, amassing a total of 5.955K BTC in its portfolio. El Salvador President Nayib Bukele was “delighted” by the fact that Bitcoin’s price surpassed $100,000 in the early hours of Thursday.
According to Arkham Intelligence, a blockchain data monitoring firm, El Salvador is currently holding Bitcoin (BTC) valued at more than $610.5 million. The country, which was the first in the world to adopt Bitcoin as legal tender in 2021, has experienced a significant increase in the value of its cryptocurrency portfolio as BTC surpassed the $100,000 threshold on December 5.
Bitcoin’s recent ascent to six figures is the result of a year of consistent growth and favorable macroeconomic factors, as well as Donald Trump’s recent victory in the US presidential elections. Bitcoin is currently trading at slightly over $101,000, which is a year-to-date increase of more than 117%.
El Salvador’s government, which has been purchasing Bitcoin, presently possesses 5,995 BTC, which were acquired at an average price of $45,297 per coin.
In celebration of this accomplishment, President Bukele posted a portfolio chart on the social media platform X, which displayed unrealized profits exceeding $333.5 million. Elon Musk, the tech tycoon, responded to the post by praising El Salvador’s government’s investment in Bitcoin as “impressive.” With a photo captioned, “It ain’t much, but it’s honest labor,” Bukele responded.
The Bitcoin experiment in El Salvador commenced in September 2021. President Bukele encountered substantial skepticism from the International Monetary Fund (IMF) when he declared BTC to be legal tender at that time. Bukele disclosed the nation’s intention to acquire one Bitcoin each day via a social media post on November 17, 2022.
Earlier this year, the International Monetary Fund (IMF) recommended that El Salvador improve the transparency of its Bitcoin adoption strategy. It underscored the necessity of instituting supplementary measures to mitigate potential risks associated with their monetary policy, as it was of the opinion that BTC’s price volatility would have severe long-term economic repercussions.
Financial watchdogs initially strongly criticized the government for investing public funds in a volatile asset. Nevertheless, Bukele maintained his unwavering optimism regarding bitcoin, contending that it would enhance financial inclusion, attract tourism, and lower remittance expenses.
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