President Bukele has just revealed purchasing an additional 1,098 bitcoins in a week, increasing the national reserves to 7,474 BTC. This buying strategy during a dip raises questions about El Salvador's ties with the IMF.
El Salvador has just completed one of the largest Bitcoin purchasing sprees ever executed by a sovereign state. In just seven days, the Central American nation added 1,098 BTC to its strategic reserves. Taking advantage of the recent market correction to accumulate massively.
President Nayib Bukele himself announced these acquisitions on social media, celebrating this new milestone in the country’s crypto policy. With now 7,474 BTC in its digital coffers, El Salvador consolidates its position as a pioneering nation in institutional Bitcoin adoption.
This buying operation comes during a period of high volatility, with BTC’s price recently correcting after reaching historic highs. Bukele’s strategy remains consistent: buy the dips to optimize the average acquisition price. This “buy the dip” approach, typical of long-term investors. Demonstrates the Salvadoran government’s unwavering conviction in Bitcoin’s potential as a store of value. On-chain data confirms these purchases were indeed executed, with fund movements detected to state wallets.
The audacity of this acquisition takes on particular significance given the recently negotiated agreement with the International Monetary Fund. Indeed, El Salvador secured a $1.4 billion loan from the IMF in December 2024. With strict conditions regarding its Bitcoin policy. The international financial institution had notably demanded that BTC usage. He become optional for the private sector and that state BTC purchases be limited.
These new massive acquisitions therefore raise legitimate questions about compliance with this commitment. The timing is striking: El Salvador purchased over 1,000 BTC just weeks after signing a restrictive agreement with the IMF, a move that some perceive as provocative. Analysts continue to debate the legal interpretation of these transaction. Some believe the agreements leave room for maneuvering for occasional purchases. While others see it as a potential violation of the loan conditions.
This tension reveals El Salvador’s fundamental dilemma: reconciling international financial orthodoxy with a crypto-sovereigntist vision. Bukele seems to be betting that the future economic benefits of his Bitcoin strategy will justify current political risks. The market is closely watching the IMF’s reaction in the coming weeks.
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Gaston has been a writer for over 7 years and a passionate cryptocurrency enthusiast since 2020. He loves exploring the crypto ecosystem and is now dedicated to sharing his insights and discoveries through InvestX.
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