El Salvador’s Bitcoin Holdings Surpass $150 Million

The government of El Salvador currently holds Bitcoin valued at over $150 million, according to recent estimates by BitcoinTreasuries.

This value represents a significant increase of $50 million from their initial investment.

Since Bitcoin was designated as legal tender in El Salvador in 2022, the country’s Bitcoin reserves have experienced a notable rise in value, transitioning from modest holdings during bearish market conditions to substantial wealth.

Under the leadership of President Nayib Bukele, El Salvador has been steadily accumulating Bitcoin, with approximately 2,380 BTC (equivalent to $158.5 million) acquired through daily purchases of 1 BTC each. At the recent peak price of Bitcoin on March 5, this amounted to $164.7 million, surpassing the total cost basis by 53%. The average purchase price per BTC stood at $44,300.

Bukele has been vocal about the success of El Salvador’s Bitcoin strategy, particularly critiquing previous media narratives that emphasized losses during periods of low Bitcoin prices. He highlighted the significant potential profits from the current market surge, pointing out that despite fluctuations, the intrinsic value of Bitcoin remains unchanged.

Despite international attention on El Salvador’s adoption of Bitcoin as legal tender, it stands as a unique pioneer in embracing a “Bitcoin standard” among nation-states. While there have been speculations about other countries, particularly in South America, considering similar moves, no official announcements have been made yet.

Samson Mow, representing Jan3, a company focused on advancing the adoption of Bitcoin, believes that nation-states will increasingly become prominent buyers of Bitcoin alongside corporations and institutional investors. This trend is driven by the growing confidence in Bitcoin’s value appreciation, attracting both large-scale investors and individual retail buyers alike.

Author

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.