El Salvador, one of the vital pro-crypto nations on this planet, added 5 BTC to its Bitcoin Reserve on Saturday. The nation bought over $5 million value of BTC previously month.
This transfer comes as El Salvador is modifying its Bitcoin insurance policies to align with situations set by the Worldwide Financial Fund (IMF).
El Salvador’s Bitcoin Accumulation Continues Amid IMF-Fueled Coverage Changes
On February 1, El Salvador’s Bitcoin Workplace confirmed the acquisition, pushing the nation’s whole reserves to roughly 6,055 BTC, valued at over $606 million.
Over the previous month alone, the federal government has acquired round 50.42 BTC, sustaining its regular accumulation since embracing Bitcoin as authorized tender in 2021.
Nevertheless, the nation has additionally just lately been making changes to its Bitcoin regulatory framework. In December 2024, the federal government reached an settlement with the IMF for a $1.4 billion mortgage beneath the Prolonged Fund Facility (EFF).
To fulfill the phrases of this deal, the federal government has adjusted key Bitcoin insurance policies. These embody making Bitcoin acceptance non-obligatory for companies, eliminating tax funds in BTC, and steadily phasing out the state-backed Chivo pockets.
This transfer was unsurprising, contemplating the IMF has persistently voiced considerations about El Salvador’s Bitcoin adoption, citing dangers to monetary stability. Whereas these regulatory updates recommend some concessions, the federal government’s broader Bitcoin technique stays intact.
Final December, Stacy Herbert, director of the Nationwide Bitcoin Workplace, hinted at an accelerated Bitcoin accumulation plan. She additionally highlighted initiatives to boost Bitcoin training and public sector coaching.
The federal government official reiterated her stance earlier this yr, saying:
“El Salvador will proceed shopping for bitcoin (at presumably an accelerated tempo AND at a reduced value) for its Strategic Bitcoin Reserve.”
Unsurprisingly, El Salvador’s pro-Bitcoin stance has attracted main crypto corporations to its shores. Stablecoin issuer Tether just lately relocated its headquarters to the nation, crediting its favorable regulatory local weather beneath President Nayib Bukele.
Shortly after, Bukele inspired Rumble CEO Chris Pavlovski to contemplate transferring his firm to El Salvador as properly.
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