- El Salvador’s Bitcoin portfolio has unrealized gains of $333 million, showcasing significant investment success under President Bukele’s leadership.
- Only 7.5% of Salvadorans use Bitcoin for transactions, revealing limited adoption despite its legal tender status since 2021.
El Salvador’s President, Nayib Bukele, recently disclosed the country’s Bitcoin portfolio data, coinciding with the cryptocurrency’s historic milestone of exceeding $100,000 per coin. The revelation underlined that El Salvador owns 5,959 BTC, bought at an average purchase price of $44,739.88.
Built over steady buys after the acceptance of Bitcoin as legal tender in 2021, the portfolio currently shows an investment of almost $270 million. Especially, the portfolio has produced unrealized returns on investment of 122% and gains worth around $333 million.
El Salvador’s Bitcoin Journey: Rising Gains Amid Low Adoption
This success aligns with a surge in market confidence in Bitcoin due to renewed global interest and optimism about regulatory changes. Analysts attribute part of the surge in cryptocurrencies to predictions of crypto-friendly legislation under the incoming American government.
Rising Bitcoin prices and growing worldwide acceptance of the coin have strengthened President Bukele’s will to establish El Salvador as a leader in the crypto space.
Notwithstanding the financial benefits, Salvadorans’ general acceptance of Bitcoin is still low. According to a survey, 85% of people did not make any last year Bitcoin transactions. Moreover, more than half of Salvadorans said the arrival of the Bitcoin has had little effect on their financial circumstances.
Although the government keeps pushing Bitcoin as a tool for financial inclusion and innovation, the differences among people highlight the continuous difficulties in including digital money into daily life.
Also, CNF previously highlighted that despite their legal money status, just 7.5% of Salvadorans actively utilize Bitcoin for transactions. Meanwhile, under his larger vision, President Bukele wants to become financially independent by 2025 by means of a self-financed budget, therefore lessening El Salvador’s dependency on foreign debt.
Regarding El Salvador’s Bitcoin projects, international watchers—including the International Monetary Fund—have demanded more openness and risk reduction. Though the nation now boasts short-term financial stability, experts stress the need of addressing possible volatility and guaranteeing long-term sustainability.
