El Salvador’s Bitcoin Portfolio Reaches $740M Mark with Huge Profits

TLDR

• El Salvador’s Bitcoin reserves have surged to $740M, up 162% from 2022.
• The country holds 6,246 BTC, with over $443M in unrealized profits.
• Strategic accumulation through geothermal mining and daily buys supports growth.
• El Salvador ranks 6th globally in sovereign Bitcoin holdings as of 2025.

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El Salvador’s Bitcoin reserves have reached a new all-time high, marking a major milestone for the country’s long-standing bet on cryptocurrency. As Bitcoin’s value soars in 2025, the country’s Bitcoin portfolio has surged, showcasing millions of dollars in unrealized gains. This achievement underscores the growing success of El Salvador’s strategy, which has placed Bitcoin at the center of its economic future.

El Salvador’s Bitcoin Portfolio Hits Record Value

El Salvador’s Bitcoin reserves have climbed to new heights, reaching approximately $740.7 million as of mid-2025. This marks a 162% increase since 2022, when the country had acquired 2,381 BTC. The nation’s Bitcoin holdings now stand at 6,246 BTC, reflecting a substantial surge in value, fueled by Bitcoin’s recent price rally.

President Nayib Bukele, who has been a vocal proponent of Bitcoin adoption, has overseen this strategic accumulation since 2021. While El Salvador faced early skepticism and market volatility, the government’s commitment to holding Bitcoin has proven fruitful. With Bitcoin trading at an average price of $120,000 per coin, the country has seen unrealized gains of over $443 million.

Strategic Accumulation Approach

El Salvador’s Bitcoin strategy involves a combination of bulk purchases, daily buys, and geothermal energy mining. The government has maintained a dollar-cost averaging approach, gradually acquiring Bitcoin over time. This strategy aims to smooth out the effects of market volatility and reduce the risk of large losses.

Additionally, the country’s mining operations, which harness the abundant geothermal energy from its volcanic landscape, supplement these purchases. This method not only aids in growing the country’s reserves but also helps reduce energy costs. El Salvador’s Bitcoin Office continues to buy Bitcoin daily, adjusting its purchases based on market fluctuations, further diversifying its acquisition methods.

Overcoming International Financial Challenges

Despite facing restrictions from international financial bodies, such as the International Monetary Fund (IMF), El Salvador has managed to continue its Bitcoin accumulation. In 2023, El Salvador entered a financing agreement with the IMF, which placed certain limits on Bitcoin’s use in public sectors. However, the government has found technical workarounds to ensure that Bitcoin purchases remain ongoing. These efforts have allowed El Salvador to continue expanding its holdings without violating the terms of the agreement.

The government has also been vocal in its stance on Bitcoin, with President Bukele dismissing external pressures to halt the nation’s Bitcoin initiatives. According to Bukele, the country is committed to Bitcoin’s potential to enhance national wealth, regardless of external challenges.

Bitcoin as a Model for Global Adoption

El Salvador’s Bitcoin experiment has drawn global attention, with other countries closely watching its approach. The nation’s growing profits and financial independence from its Bitcoin holdings serve as a compelling case for other emerging markets. As Bitcoin continues to rise in value, El Salvador’s success in integrating cryptocurrency into its national strategy is inspiring discussions on the broader role of digital assets in national economies.

El Salvador’s efforts to secure its Bitcoin holdings also involve measures like cold storage transfers, which protect assets from potential cyber threats. The country is also focused on expanding its Bitcoin mining infrastructure, aiming to further integrate Bitcoin into its economic strategy.

While El Salvador ranks as the sixth-largest sovereign holder of Bitcoin, the country remains at the center of debates regarding cryptocurrency’s role in the global economy. As Bitcoin approaches new highs, El Salvador’s strategy may serve as a key reference point for countries considering similar moves.

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