The President of El Salvador announced that the country has gained over $300 million in unrealized profits from its Bitcoin investments. This positive result occurred as the price of BTC surpassed the $100,000 mark.
The President of El Salvador, Nayib Bukele, pointed out the potential benefits the country could have from its Bitcoin investments on social media following the cryptocurrency reaching over $100,000 for the first time.
Bitcoin (BTC) hit a milestone on December 5 by reaching $100,000, causing excitement among those involved in the cryptocurrency world. Autism Capital, a crypto account on a platform called X, requested for Bukele to reveal El Salvador's Bitcoin holdings in order to prove doubters wrong. In response, Bukele shared the country's BTC portfolio on the platform.
Origin: Nayib Bukele
The most recent report from Bukele reveals that El Salvador has invested close to $270 million in Bitcoin since first starting to use the digital currency. The record indicates that no Bitcoin has been sold, and the current unrealized profits are now over $333 million.
The journey of Bitcoin in El Salvador began when it became the first country to officially recognize it as a legal currency. This decision was made on September 7, 2021, when the Bitcoin Law went into effect, allowing BTC to be used for financial transactions in the country. The government also made its first purchase of 200 BTC the day before, on September 6.
Afterwards, El Salvador has kept adding more Bitcoin to their holdings. On November 17, 2022, Bukele revealed a strategy called dollar-cost averaging (DCA), where they commit to purchasing one Bitcoin every day.
According to Nayib Tracker, a platform that monitors Bitcoin investments in the country, it is reported that El Salvador owns 6,180 BTC. The platform calculates that the average purchase price per Bitcoin was $44,739.88, resulting in a 122% increase in value based on current market prices.
In addition to the profits from BTC, El Salvador has experienced other advantages after integrating Bitcoin into their economy. One of the positive outcomes of this decision was an increase in tourism to the country.
New information: Bitcoin exchange-traded funds in the US currently have a larger amount of Bitcoin in their holdings
The International Monetary Fund (IMF) is advising El Salvador to reconsider its policies regarding Bitcoin, despite the country's claimed success with the cryptocurrency.
The International Monetary Fund (IMF) requested that El Salvador cease treating Bitcoin (BTC) as an official form of currency on January 25, 2022. The IMF raised concerns about potential threats to the country's financial stability, even though they acknowledged
The International Monetary Fund (IMF) recently advised El Salvador to reconsider its Bitcoin policies. Julie Kozack, the IMF's communications director, suggested that El Salvador should make changes to its Bitcoin Law to reduce risks associated with the cryptocurrency and limit the government's involvement with Bitcoin.
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