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El Salvador’s bitcoin holdings up $357m in unrealized profit

El Salvador’s bitcoin holdings have generated an unrealized profit of over US$357 million, according to President Nayib Bukele.

This increase follows a surge in bitcoin’s value, approaching its previous record high.

The country’s bitcoin portfolio is valued at approximately US$644.4 million, acquired for US$287.1 million.

This represents a 124.4% unrealized profit margin, with US$69.8 million gained in 2025 alone.

El Salvador holds around 6,181 BTC, valued at roughly US$639 million based on current prices.

🔗 Source: The Block


🧠 Food for thought

1️⃣ Limited public adoption despite significant government investment

El Salvador’s Bitcoin experiment has faced challenges in gaining widespread public adoption despite substantial government incentives.

As of early 2024, Bitcoin transactions accounted for only 8.1% of total transactions in El Salvador, highlighting the significant gap between government policy and actual usage 1.

The government initially allocated $150 million to support Bitcoin transactions and offered citizens a $30 bonus for using the official Chivo wallet, yet public support remained lukewarm 1.

Technical issues with the Chivo wallet and a general lack of digital literacy have contributed to low adoption rates, with many Salvadorans continuing to prefer traditional banking methods 2.

Mass adoption remains constrained by infrastructure limitations, despite the government’s promotional efforts 2.

2️⃣ El Salvador’s Bitcoin strategy creates tension with international financial institutions

President Bukele’s commitment to Bitcoin has created ongoing friction with the International Monetary Fund, which has repeatedly expressed concerns about the policy’s risks.

The IMF has specifically urged El Salvador to remove Bitcoin’s legal tender status due to concerns about financial stability and consumer protection, highlighting the clash between monetary sovereignty and international financial oversight 1.

Recent Cryptocurrency developments

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