A country in Central America continued to invest in Bitcoin as the nation beefed up its BTC reserves to more than $500 million.
El Salvador purchased additional coins to increase its holdings to over 6,000 units, allowing the Central American country to join the 6,000 Bitcoin club.
BTC Investment Up By 108%
El Salvador President Nayib Bukele further solidified Bitcoin as the country’s primary treasury asset after bolstering the nation’s Bitcoin reserve.
It is a move that showed how El Salvador has embraced and adopted cryptocurrency in its treasury management strategy.
With the purchase, the portfolio tracker of the National Bitcoin Office showed that El Salvador has accumulated a total of 6,000.77 Bitcoin, bringing its cryptocurrency treasury asset to $569.3 million.
Data showed that the new Bitcoin acquisition gave El Salvador a 108.02% increase in its crypto investment. According to the country’s Bitcoin portfolio tracker, El Salvador has bought its Bitcoin assets with an average price of $45,450 per coin.
The 6,000 Club
El Salvador now joins an elite group of nations with huge Bitcoin reserves.
“El Salvador has become the sixth country to currently hold more than 6,000 Bitcoin (BTC),” crypto analyst Whale Catcher said in a post.
Among countries with considerable Bitcoin holdings, El Salvador trailed behind the United States, China, the United Kingdom, Ukraine, and Bhutan, joining the elite club of governments who embrace BTC in their treasury strategy.
Historically, analysts said that El Salvador normally purchases one Bitcoin a day. However, after striking a $1.4 billion deal with the International Monetary Fund (IMF), the country bought $1 million worth of crypto in one day, repeating such a huge purchase on December 22.
El Salvador owns the record as the first nation to declare Bitcoin as its legal tender. The country started adopting Bitcoin on September 6, 2021 after its government made an initial purchase of 200 virtual coins. Since then, the Central American nation has bolstered its crypto holdings, despite the IMF asking the country to slow down its Bitcoin activity.
EL SALVADOR SECURES $3.5 FUNDING DEAL
Bitcoin remains legal tender
— Stacy Herbert
(@stacyherbert) December 19, 2024
Bitcoin Activity To Continue
El Salvador might be receiving criticisms from the international community for its Bitcoin reserve strategy, but it will not hinder the Bukele administration from boosting the country’s BTC holdings.
El Salvador’s National Bitcoin Office Director Stacy Herbert reaffirmed the commitment of the government to push with its Bitcoin investments.
“El Salvador will continue buying bitcoin (at possibly an accelerated pace) for its Strategic Bitcoin Reserve,” Herbert said in a post.
The government of the Central American nation clarified that it would continue with its Bitcoin acquisitions and does not intend to offload its BTC holdings.
Featured image from Gecos, chart from TradingView
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