🇸🇻 El Salvador: First Country to Adopt Bitcoin
In September 2021, El Salvador made history by becoming the first country in the world to adopt Bitcoin as legal tender, alongside the US dollar. Under President Nayib Bukele, this bold decision aimed to promote financial inclusion and attract foreign investment.
💰 The Daily Purchase Strategy: "1 BTC per Day"
Since November 2022, the Salvadoran government has launched an ambitious accumulation strategy: buying at least 1 Bitcoin per day. This DCA (Dollar Cost Averaging) approach allows the country to acquire BTC in all market cycles, whether bullish or bearish.
Current Numbers
- Total held: 7,474 BTC (November 2025)
- Current value: Approximately $676 million
- Average purchase price: ~$44,835 per BTC
- Unrealized profit: Approximately $93 million
🌋 Volcanic Mining: An Ecological Innovation
El Salvador exploits a unique natural resource to mine Bitcoin: geothermal energy from its volcanoes. The country has 170 volcanoes, with the Tecapa volcano currently powering mining operations.
How Does It Work?
A 102 megawatt (MW) geothermal power plant produces electricity, with 1.5 MW exclusively dedicated to Bitcoin mining. 300 ASIC processors run continuously thanks to this 100% renewable energy.
Volcanic Mining Results
- 474 BTC mined since 2021
- Value: $29 million
- Method: Clean and sustainable geothermal energy
- Ecological impact: Zero carbon emissions
President Bukele has even mentioned a future program of "volcano rentals" to allow companies to mine Bitcoin with this green energy.
🏦 The IMF Agreement: A Controversial Situation
In December 2024, El Salvador signed a $1.4 billion loan agreement with the International Monetary Fund (IMF). This agreement included strict conditions regarding Bitcoin.
Imposed Conditions
- Stop public Bitcoin accumulation
- Bitcoin would no longer be mandatory in the private sector (now voluntary)
- Reduction of government involvement in the Chivo wallet
The Reality of Purchases
Despite the agreement, El Salvador has continued to buy Bitcoin. According to official data:
- 240 BTC purchased between December 2024 and June 2025
- 1,090 BTC purchased in November 2025 during a market dip (bought at around $90,000)
- The government uses non-governmental entities to bypass restrictions
The IMF states that El Salvador is "technically complying" with the agreement, although purchases continue through alternative structures.
📊 Recent Purchases: Taking Advantage of Market Dips
In November 2025, as Bitcoin fell below $90,000, El Salvador made its largest single-day purchase since 2021: approximately 1,090 BTC for $100 million. This acquisition represents a 17% increase in reserves in just one week.
🎯 Bukele's Long-Term Vision
President Nayib Bukele, re-elected in 2024, maintains his vision of a pioneering Bitcoin-adopting El Salvador. His goals include:
- Positioning El Salvador as a global leader in Bitcoin adoption
- Attracting crypto investments and Bitcoin tourism
- Developing green energy infrastructure
- Creating financial independence from traditional institutions
💡 Challenges and Criticisms
El Salvador's Bitcoin strategy faces several challenges:
- Volatility: Bitcoin's price fluctuates considerably
- International pressure: The IMF and other institutions remain skeptical
- Limited local adoption: Crypto transfers to El Salvador dropped 44.5% in 2025
- Fiscal risk: A prolonged Bitcoin decline could impact public finances
🔮 2025-2026 Outlook
El Salvador continues to affirm its commitment to Bitcoin. With 7,474 BTC in its reserves and a sustainable mining strategy, the country remains a unique case study in the global economy.
El Salvador's initiative inspires other countries like the Czech Republic, which recently announced a test purchase of cryptocurrencies, showing that nation-states' interest in Bitcoin may be growing.
✅ Summary
- Total BTC held: 7,474 BTC
- Current value: ~$676 million USD
- BTC mined (volcanoes): 474 BTC
- Purchase strategy: 1 BTC minimum/day
- Energy used: Geothermal (100% green)
El Salvador continues to bet on Bitcoin's future, defying traditional financial institutions and proposing an alternative model for national-scale cryptocurrency adoption. Whether this experiment succeeds or fails, it will remain in history as one of the most audacious initiatives in modern monetary policy.