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- El Salvador boosts Bitcoin reserves as questions grow over IMF loan terms.
- Bukele pushes ahead with major Bitcoin buy during sharp market dip.
- Government accumulation continues despite strict IMF limits on purchases.
El Salvador increased its Bitcoin holdings again on Monday evening after adding 1,090 BTC to its reserve. The country has a Bitcoin Office that publicly stated that the purchase was in the line of approximately 100 million dollars and was the most significant single-day addition to date.
The most recent transaction increased the national holding to 7,474 BTC, which was approximately $676 million at that moment. Since the end of 2022, President Nayib Bukele has spearheaded an accumulation plan, and the country has been purchasing one bitcoin per day since then. Furthermore, the management has used market slumps on several occasions, and the Monday buy opportunity came as Bitcoin fell below $90,000.
Bukele posted a screenshot of the purchase on his official X account and stated that the strategy of buying will proceed. Moreover, the office of Bitcoin has held on to the fact that all the transactions recorded indicate apparent consistent accumulation in the hands of the government.
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Rising Scrutiny Over IMF Restrictions
The worries reemerged after the nation had an agreement with the IMF amounting to $1.4 billion that limits the acquisition of new Bitcoins. According to the agreement, the state sector of El Salvador must not purchase Bitcoin, and this fact puts the newcomer under new scrutiny.
Two senior finance officials said in July that the government had not bought Bitcoin since February. Their comments conflicted with those made by Bukele publicly and created confusion as to the origin of the increasing reserve. Moreover, an IMF report opined that the increases were an indicator of a wallet consolidation among the state entities and not new market acquisition purchases.
The Bitcoin Office Stacy Herbert has refuted such allegations and has maintained that the government is still purchasing Bitcoin. She asserted that blockchain records provide an evident demonstration of a continuous accumulation despite external skepticism. Her remarks mirrored previous remarks that called on supporters to trust verifiable on-chain action as opposed to IMF commentary.
The strategy of El Salvador is adamant in the face of international pressure on the loan agreement. With the long-term vision still in place, the government continues to make Bitcoin the center of its economic narrative.
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