Bitcoin’s price has experienced a recent decline due to selling pressure from Mt. Gox repayments and global economic uncertainties. However, amidst this volatility, El Salvador continues to demonstrate its commitment to Bitcoin by acquiring one BTC daily.
As per BitInfoCharts data, El Salvador’s government-controlled cold wallet has steadily accumulated 1 BTC since President Nayib Bukele transferred the country’s BTC holdings to the wallet in mid-March. This move was accompanied by the public disclosure of the wallet address, with El Salvador initially holding approximately 5,600 BTC valued at over $400 million. Bukele referred to the wallet as El Salvador’s “first Bitcoin piggy bank.”
This initiative to acquire Bitcoin daily aligns with Bukele’s strategic vision, which he announced in 2022. The daily purchases commenced on November 18, 2022, following El Salvador’s groundbreaking decision in September 2021 to adopt Bitcoin as legal tender. Bukele clarified that the country’s BTC acquisitions are not limited to direct purchases but also involve activities like passport sales, currency conversions, mining operations, and various government services.
In a significant development, El Salvador has leveraged the geothermal power of the Tecapa volcano to mine 473.5 BTC as of May 15, 2024, showcasing its innovative approach to Bitcoin utilization. Moreover, the country has unveiled plans to enhance Bitcoin’s integration into its banking system by proposing reforms that facilitate Bitcoin and US dollar transactions through a private investment bank.
El Salvador’s consistent efforts to embrace Bitcoin underscore its position as a trailblazer in cryptocurrency adoption at the national level, setting an example for other nations exploring similar initiatives.
