El Salvador is marking a significant crypto milestone as its Bitcoin holdings surpass 6,000 BTC, a value of approximately $569 million. The country joins the elite league that includes the US, China, the UK, Ukraine, and Bhutan, who have also exceeded the 6,000 BTC holding mark.
This development cements Bitcoin’s position as a treasury asset for El Salvador under President Nayib Bukele. As per the National Bitcoin Office of El Salvador’s tracker, this milestone was achieved when the country acquired another Bitcoin on December 29, bringing its total holdings to 6000.77 BTC.
The recent acquisition has pushed El Salvador’s return on Bitcoin investment to 108.02%. To put this into context, the approximately 6,000.77 Bitcoin were bought at an average price of $45,450. This is per the portfolio tracker of President Nayib Bukele. Tracing back to the start of these investments, El Salvador’s government, under Bukele’s leadership, had made its initial purchase of 200 bitcoins on September 6, 2021, which was around the time Bitcoin was declared legal tender in the country.
In the global Bitcoin holdings ranking among countries, El Salvador comes in sixth, following the United States, China, the United Kingdom, Ukraine, and Bhutan. The data is according to BitBo’s Bitcoin Treasuries. Despite recommendations from the International Monetary Fund (IMF) to scale back its Bitcoin pursuits, El Salvador has maintained an average buying rate of one Bitcoin per day with occasional higher purchases, such as the $1 million worth bought on the day following a $1.4 billion deal with the IMF.
The Director of El Salvador’s National Bitcoin Office, Stacy Herbert, has indicated that the country may continue its active Bitcoin purchasing trend. The Bitcoin Office has also stated that there’s no intention to liquidate El Salvador’s Bitcoin investments as it remains part of the country’s central strategy. However, El Salvador’s Chivo Bitcoin wallet is expected to be phased out to cater to private-sector Bitcoin wallets to continue serving the country. As for the $1.4 billion deal with the IMF, which was brought under strain by Bukele’s Bitcoin policies, the IMF approval is still pending.