By CryptoSlate | Created at 2024-12-24 12:01:32 | Updated at 2024-12-25 00:55:54
12 hours ago
El Salvador touts Bitcoin success in talks with China Oluwapelumi Adejumo · 1 min ago · 1 min read
El Salvador champions Bitcoin success, targets increased reserves and broader acceptance.
1 min read
Updated: Dec. 24, 2024 at 11:05 am UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
El Salvador showcased its Bitcoin achievements during a meeting between Vice President Félix Ulloa Jr. and Zhang Yanhui, the Ambassador of the People’s Republic of China.
On Dec. 23, Vice President Ulloa emphasized how Bitcoin has transformed El Salvador into a symbol of financial freedom. He noted that the country’s state reserves now include over 6,217 BTC, valued at over $500 million.
This progress is attributed mainly to the efforts of the Bitcoin Office, led by Stacy Herbert. Under her, El Salvador has initiated several pro-crypto initiatives and policies to foster further adoption of the emerging technology.
Meanwhile, the meeting occurred against China’s historically restrictive stance on cryptocurrencies.
While China enforces strict regulations prohibiting institutional crypto activities, recent developments—such as Bitcoin payments accepted by Nano Labs and legal recognition of crypto as property—hint at a potential softening of its policies.
Expanding Bitcoin ambitions
Available information shows that El Salvador is not stopping at its current Bitcoin holdings. The government has set its sights on increasing its reserves by 20,000 BTC, signaling its unwavering commitment to crypto adoption.
On Dec. 21, Max Keiser, senior advisor to President Nayib Bukele, revealed plans to reach this ambitious target. He stated:
“The interim goal in [El Salvador] is to acquire another 20,000 BTC.”
On-chain data indicates that El Salvador currently holds nearly 5,996 BTC, valued at approximately $565.6 million. This includes a recent purchase of 29 BTC for over $2.7 million, aligning with the nation’s aggressive Bitcoin strategy despite concerns from the International Monetary Fund (IMF).
The financial regulator recently agreed to a $1.4 billion financing agreement tied to several Bitcoin-related concessions. However, Herbert has insisted that Bitcoin remain legal tender alongside the US dollar and that the government continue adding to its strategic reserves.
