El Salvador Continues Bitcoin-Buying Spree Despite IMF’s Call To Halt Purchases

El Salvador scooped up eight Bitcoins on Tuesday despite the International Monetary Fund (IMF) reiterating that “efforts will continue” to ensure that the Central American nation’s total amount of BTC does not change.

El Salvador Plays Defiant Game With IMF Bitcoin Rules

The new Bitcoin acquisition, announced by El Salvador’s Bitcoin Office, came shortly after IMF staff and El Salvadoran authorities reached a staff-level agreement on the first review of the 40-month Extended Fund Facility (EFF).

In March, El Salvador signed a deal with the IMF to receive a $3.5 billion loan package. Bitcoin was stripped of its mandatory legal tender status, meaning merchants no longer need to accept the currency on a mandatory basis.

As part of the agreement, El Salvador must fulfill its previous obligations regarding limiting further government involvement in Bitcoin, and it will have to wind down public sector involvement with the Chivo wallet by the end of July.

“On Bitcoin, efforts will continue to ensure that the total amount of Bitcoin held across all government-owned wallets remains unchanged,” the IMF stated.

Moreover, the deal prohibited the “voluntary accumulation of the premier crypto by the public sector,” meaning that El Salvador wouldn’t be allowed to keep stockpiling BTC if it wanted to keep complying with the loan package.

Despite earlier commitments to limit state involvement in crypto activities, the country’s Bitcoin Office has continued to boost its reserves with frequent purchases.

Nayib Bukele’s government now holds roughly 6,190 BTC, a sum worth approximately $673 million, according to Arkham Intelligence. 

President Bukele, who has made Bitcoin the star of his global image, has asserted that his government will continue to acquire one BTC every day as part of the country’s Bitcoin treasury strategy.

Bukele recently revealed in a post on the X social media site that the country’s Bitcoin stash is sitting at an unrealized profit of $386 million, an over 130% gain on its total Bitcoin investment.

El Salvador is also using geothermal energy to mine BTC, while cultivating a reputation for being a tourist destination among Bitcoin’s devotees.