I’ve been following El Salvador’s Bitcoin story for a while now, mostly because it’s a rare thing to see a " small country" take such a high risk move by betting on something as unpredictable as crypto. Bitcoin is still volatile no doubt, but these days I'm getting the feel it's less, or maybe the numbers are so big what would be significant is something to the tune of 10K dip.
Anyway this week their decision to stick with it seems to be paying off in a very big way.
The country’s Bitcoin reserve is now worth over $644 million dollars. Technical the amount they've put in from the beginning is $287 million so that gives them an unrealized profit of about $357 million. It’s the kind of number that makes you pause for a second and rethink everything you thought about risky investments. Haha, I'm for real rethinking all my investment decisions upon reading about this.
I remember when President Nayib Bukele first made Bitcoin legal money back in 2021, most of the people including big financial groups like the IMF, weren’t happy about it. The IMF even made cutting down on crypto a requirement for El Salvador to access a $1.4 billion loan. Most lawmakers agreed to soften some rules earlier this year though, like letting businesses choose if they wanted to accept Bitcoin or not, but Bukele hasn ’t still backed down.
He still buys one Bitcoin a day for the country, no matter what.
Its pretty obvious that this isn’t just about money anymore, El Salvador wants to prove a point that a small country can make its own rules and win big doing it. At the time of writing, they now hold over 6,100 Bitcoin, making them the sixth biggest country holder in the world. Well, the U.S., China, and the U.K. are ahead, but 6th still says a lot about where El Salvador "a small country" stands in this space.
You gotta give it up to president Bukele, he's demonstrated some level of guts that needs to be respected
Posted Using INLEO
