El Salvador’s Bitcoin Holdings Exceed $60 Million Amid Cryptocurrency Surge
Crypto News – El Salvador‘s holdings in Bitcoin have surged past $60 million USD, driven by the recent upswing in cryptocurrency prices. With a stash of 2,848 Bitcoins, the nation has capitalized on Bitcoin’s upward trajectory, which recently surpassed the $61,000 USD threshold, marking an 8.42% surge in the past 24 hours and an 18.60% increase over the last seven days.
The rise in wealth for El Salvador comes amidst its groundbreaking move in 2021 to embrace Bitcoin as legal tender, making it the first country to do so. However, following the crypto market crash, which saw the collapse of various firms, including the exchange FTX in November 2022, concerns were raised about the nation’s financial stability. Reports indicated that El Salvador incurred a loss of $60 million just a year into its Bitcoin experiment.
On February 5, Nayib Bukele secured a landslide victory in El Salvador’s national election, capturing over 85% of the votes. Bukele’s staunch advocacy for Bitcoin has earned him widespread popularity both domestically and in the global crypto community.
Bukele consistently promotes Salvador’s favorable stance on Bitcoin to international audiences. Notably, the government extended an open invitation for foreigners to contribute Bitcoin donations to its development programs, coinciding with a reported increase in foreign residents relocating to the country, particularly in beach communities.
In December 2023, the National Bitcoin Office (ONBTC) announced regulatory approval for the Volcano Bond from the Digital Assets Commission (CNAD), further solidifying El Salvador’s commitment to cryptocurrency.
El Salvador‘s bullish foray into crypto has sparked speculation about whether other Latin American countries will follow suit. Recently, Argentina’s government announced that contracts can now be settled with Bitcoin, indicating a growing trend in the region.
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