In brief
- Bitcoin’s surge past $122,000 has pushed El Salvador’s holdings to over $760 million, nearly tripling the country’s estimated $42K cost basis.
- With over 6,200 BTC on the books, the nation now holds one of the most valuable sovereign crypto reserves in the world.
- Despite IMF pressure and U.S. scrutiny, President Bukele continues adding BTC, calling out critics and defending the country’s crypto-forward stance.
President Nayib Bukele’s Bitcoin bet is paying off with El Salvador’s crypto holdings soaring beyond $760 million as the digital asset crossed $122,000 on Sunday, vindicating a strategy that global financial institutions previously dismissed as reckless.
The Central American nation now holds more than 6,237 BTC worth over $762 million, according to Arkham Intelligence data.
With Bitcoin trading at $122,121, up 3.7% in 24 hours, as per CoinGecko data, the country’s estimated $42,000 cost basis means its holdings have nearly tripled in value, generating paper profits that dwarf many traditional government investments.
President Nayib Bukele’s administration made Bitcoin legal tender in 2021 and began accumulating the asset during market lows, enduring harsh criticism, diplomatic tension, and a major selloff before the market turned in El Salvador’s favor.
“Sovereigns and central banks must consider Bitcoin as a part of their long-term strategic reserves,” Pranav Agarwal, independent director at Jetking Infotrain India—the country’s first listed bitcoin treasury company, told Decrypt. “The mark-to-market gains by El Salvador are a great indicator of how this approach accrues value over a rolling four-to-five-year period.
“It will go down as a case study in global economics,” he said.
Addressing potential risks, Agarwal said, “As an independent nation, if the government has the support of the elected representatives, they don’t face material internal regulatory risks.”
However, El Salvador’s Bitcoin strategy continues to face international scrutiny.
Bukele took to X last week to mock U.S. senators who introduced the El Salvador Accountability Act of 2025, a bill aiming to investigate the country’s Bitcoin usage and consider sanctions.
While the IMF has previously pressured El Salvador to walk back parts of its crypto law, leading to a rollback that made Bitcoin acceptance optional for businesses, Bukele is unfettered, continuing to add Bitcoin to the national balance sheet.
As Bitcoin hits new highs, traders are closely watching key levels for signs of further momentum.
“The breakout above the $119,500–$120,000 range, supported by rising volume, reflects continued buying interest,” Pankaj Balani, CEO & co-founder, Delta Exchange, told Decrypt. “A sustained move above $122,000 could open the path toward $124,000–$125,000.”
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