El Salvador BTC Holding is Now $85M in Profit

March 12, 2024

🚀 Stay Ahead with AltcoinDaily.co! 🌐

El Salvador gambled on Bitcoin by making it legal tender, and the decision has proven to be a lucrative venture, with President Nayib Bukele’s strategic buying approach now reaping substantial rewards.

According to the Nayib Tracker website, the Central American nation has notched an impressive 70% profit on its dollar-cost average purchase price, accumulating a crypto treasury that stands at a remarkable $85 million in profit.

Recently, Bukele won re-election in El Salvador and once again became the president of the Central American country. His party held 87% of the votes, while his closest competitors, Manuel Flores and Joel Sanchez, held 7% and 4% of the votes, respectively.

🌟 Unlock Crypto Insights with AltcoinDaily.co! 💰

Bitcoin and El Salvador

This success story began in September 2021, when El Salvador initiated its foray into the world of Bitcoin, making it legal tender within its borders. The initial purchase of 200 coins took place at a time when Bitcoin was trading at $51,769.

However, as the cryptocurrency market experienced a downturn, with Bitcoin plummeting from a peak of $69,000 in November 2021 to as low as $16,000, doubts were cast on President Bukele’s bold strategy.

Bitcoin’s Move to ATH

The turning point came in February, when Bitcoin prices surpassed the dollar-cost average of $42,600, bringing the portfolio back to break-even. Since then, a recent rally catapulted Bitcoin prices to a new all-time high above $72,000 on March 11, resulting in the entire portfolio, consisting of 2,861 BTC, being valued at an impressive $207.3 million.

🦂 AltcoinDaily.co is your trusted source for the latest in crypto news and insights. 🚀

President Bukele, buoyed by this success, highlighted additional sources of Bitcoin revenue. These include income generated from the country’s passport program, profits from converting BTC to USD for local businesses, revenue from BTC mining, and income from government services.

El Salvador Continues to Invest in Bitcoin

El Salvador’s innovative approach to Bitcoin extends beyond mere investment. In December, the country enacted a migration law offering expedited citizenship to foreigners contributing Bitcoin donations for government social and economic development programs.

In October, El Salvador further solidified its position in the crypto space by launching its first Bitcoin mining pool through a partnership between Volcano Energy and Luxor Technology.

As Bitcoin continues its upward trajectory, there is optimism that El Salvador’s financial outlook will further improve.

BTC to $100K

Venture capitalist Tim Draper believes that if Bitcoin reaches $100,000, the nation might be able to settle outstanding loans owed to the International Monetary Fund (IMF). This has led to speculation that El Salvador is on the path to achieving financial independence.

President Bukele, recently re-elected in a landslide victory in February, expressed his frustration with media scrutiny during Bitcoin’s market lows, stating,

“When Bitcoin’s market price was low, they wrote literally thousands of articles about our supposed losses.”