Since the bitcoin price drop started, El Salvador and its president Nayib Bukele have basically been under the microscope. The country’s bitcoin plans have seen it buy more than 2,300 BTC but the bear market has erased most of the value from their holdings. Despite this, Bukele has not backed down from his stance that bitcoin will be good for the future of the country and says El Salvador will continue to buy bitcoin.
1 Bitcoins a Day
Even though more than $60 million worth was removed from El Salvador’s bitcoin holdings, Nayib Bukele said his country would continue to buy BTC. In a recent tweet, the president explained that there is a new strategy for collecting bitcoins for the country.
According to him, El Salvador will start buying 1 bitcoin a day. As for when it will start, the President explained that it would take effect on Friday, November 18. There is no time limit on how long this will run within the tweet.
We bought one #Bitcoins every day starting tomorrow.
— Nayib Bukele (@nayibbukele) November 17, 2022
Bukele has the backing of Tron founder Justin Sun who says that TRON DAO will also follow bitcoin El Salvador and buy 1 BTC daily starting from Friday.
— HE Justin Sun🌞🇬🇩🇩🇲🔥 (@justinsuntron) November 17, 2022
At such a rate, a heavy buy would quickly increase El Salvador’s bitcoin holdings which currently sit at 2,381 BTC at the time of this writing. The country has also completed a year of BTC as legal tender although there has been a mixed reaction from the population to this.
BTC trending in the mid $16,000s | Source: BTCUSD on TradingView.com
El Salvador has been in an unstable position after its decision to hold BTC as part of its treasury. The already stressed-out country recently accepted an offer from China to pay off the debt, but Bukele made it clear the country was proceeding with caution. “We will not sell to the first bidder,” he added.
As for where the country keeps its Bitcoins, the president has dismissed rumors that the country is keeping its BTC on the now bankrupt FTX exchange. This was confirmed by Binance CEO Changpeng Zhao who posted on Twitter that he had spoken to the president and that El Salvador had no business with FTX.
Currently, El Salvador’s bitcoin value stands at $41 million with unrealized losses of over $65 million. The country has not shown any indication that it plans to sell, and its holdings could exceed 3,000 BTC if it continues buying 1 BTC until the next bull market.