El Salvador doubles down on Bitcoin (BTC) with big buys amid market chaos

When Bitcoin crashed below $90,000, El Salvador grabbed $100 million worth of BTC.

According to the country’s Bitcoin Office, the latest acquisition is worth around $100 million and was carried out when the cryptocurrency briefly fell below $90,000. The purchase is the largest single-day increase the Central American country has announced and aligns with President Nayib Bukele’s pledge to continue expanding the national BTC reserve through steady daily acquisitions.

Bitcoin crashes, El Salvador recharges

Get up shared a screenshot of the transaction in his X account, confirming his previous position that the government has no plans to interrupt its accumulation.

However, the announcement raises new questions about how these assets are managed and whether the government is making new purchases in the market or simply consolidating assets across its various portfolios. The IMF’s $1.4 billion loan agreement stipulates that El Salvador’s public sector will not be allowed to acquire additional Bitcoin, and senior financial officials previously said the government has not added any units since February.

An IMF report later indicated that reserve increases were likely to result from internal transfers rather than new purchases. Despite this, the country’s Bitcoin Office continues to claim that real purchases are taking place, as does its leadership pointing to data in the chain as evidence.

The latest update also comes against the backdrop of increased coordination with the United States on digital asset policy, including a meeting between President Bukele and Bo Hines, the executive director of the White House Presidential Council of Digital Asset Advisors, earlier this year.

Bolivia-El Salvador Pact

In addition to its aggressive accumulation strategy, El Salvador is also taking steps to shape digital asset policy across Latin America. In July, the Central Bank of Bolivia signed a memorandum of understanding with El Salvador’s National Commission for Digital Assets, in an effort to enable the two institutions to exchange technical and regulatory expertise, including blockchain analytics and risk assessment tools.

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The partnership was touted as an important step for Bolivia, which is seeking clearer rules as the use of digital assets accelerates following last year’s Decree 082/2024. For El Salvador, the agreement strengthens its role as a regional leader in crypto policy, backed by years of experience regulating, purchasing and even mining BTC.