El Salvador President Showcases National Portfolio as Bitcoin Tapped $100K

As a seasoned crypto investor with a decade of experience under my belt, I must say that the recent surge of Bitcoin past the $100,000 mark and El Salvador’s strategic move to adopt it as legal tender has been nothing short of impressive. The rapid growth in the value of El Salvador’s BTC portfolio from a $269.7 million investment to over half a billion dollars is a testament to the potential that cryptocurrencies hold, especially when embraced by forward-thinking governments.


As a researcher, I’d express it like this: Following Bitcoin (BTC) surpassing the $100,000 mark, President Nayib Bukele of El Salvador celebrated on social media, reflecting on the bold move his nation made by adopting Bitcoin as legal tender in 2021.

Afterward, the tiny Central American country recognized cryptocurrency as a form of legal tender and created a treasury with approximately 6,000 Bitcoin in its possession.

Reaching a significant landmark, the world’s most valuable digital asset caused the worth of El Salvador’s Bitcoin holdings to surpass $600 million, representing an impressive 123.67% profit on their initial investment of $269.7 million.

Bitcoin’s Historic Breakthrough

On December 5th, President Bukele publicly displayed the country’s crypto assets on a platform, disclosing an impressive potential gain of $333.6 million that hasn’t been realized yet.

— Nayib Bukele (@nayibbukele) December 5, 2024

The post ignited a flurry of responses online, as people applauded Bukele’s vision in embracing Bitcoin. Billionaire Elon Musk, selected by U.S. President-elect Donald Trump to lead the Department of Government Efficiency (D.O.G.E.), expressed admiration for this feat, calling it “impressive.” Many also deemed the action as “legendary,” foreseeing possible long-term advantages for El Salvador.

Despite hitting a record peak price of $103,679, Bitcoin has since dropped down to approximately $98,000. This decline has lowered the value of El Salvador’s bitcoin holdings to an impressive $556.4 million.

Since 2022, the country has consistently purchased one Bitcoin every day. As a result, it now holds a total of 5,942 Bitcoins. President Bukele has pledged to continue this practice until Bitcoin becomes so expensive that it’s virtually unaffordable using traditional currencies.

Although some Salvadorians have benefited from the new system, not everyone is enjoying its fruits. An Associated Press article uncovered the fact that numerous individuals chose to receive $30 in cash instead of Bitcoin (BTC) when the digital wallets were rolled out, preferring immediate funds over potential future profits.

Moreover, even though profits appear substantial, they are yet to be realized since the Bitcoin has not been cashed out, according to analysts like Carlos Acevedo, a former head of El Salvador’s Central Bank.

President Bukele alleges that his political adversaries have discouraged citizens from adopting cryptocurrency, thereby denying them substantial financial benefits. In a Facebook post, he put it this way:

Not only did the opposition make a grave error regarding Bitcoin, but, unlike other topics where they were mistaken, in this case, their disagreement had tangible consequences for many people.

BTC Continues to Ride the “Trump Pump”

Despite being 5% below its all-time high, Bitcoin’s dramatic surge in value has occurred amidst a broader context of global events, such as Donald Trump’s election win in November. This pro-crypto president has expressed intentions to implement policies that could strengthen and expand U.S. government ownership of Bitcoin, thereby stirring optimism within the digital currency market.

As a researcher, I found it noteworthy that the push surpassing $100,000 in cryptocurrency markets might have been influenced by Trump’s appointment of Paul Atkins, an advocate for digital currencies, as the new chair of the Securities and Exchange Commission (SEC). This move came following Gary Gensler’s much-criticized tenure.

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2024-12-07 21:20