El Salvador’s treasury continues to lose money
The value of the country’s crypto holdings has fallen 58% since last September
The budget has lost $61 million due to the depreciation of BTC
Last September, El Salvador officially recognized bitcoin as a means of payment. The country became the first in the world to integrate BTC at the state level. But the crisis hit, and cryptocurrencies plummeted in value.
In one year, the value of El Salvador’s crypto portfolio fell by 58%. Of course, this is an approximate figure, as the official figures are kept secret.
It is not known exactly how much BTC is in El Salvador’s coffers. According to unconfirmed figures, the authorities have bought 2,381 bitcoins since September.
But while the asset was trading at $60,000 at the end of October last year, it fell to $19,000 in June and is now frozen at just over $20,000.
According to an unofficial source, Nayib Bukele Portfolio Tracker, the country spent about $107 million on the purchases, while the treasury lost about $61 million more as a result of asset depreciation.
Despite the fall in the value of BTC, El Salvador is still buying the cryptocurrency. In July, for example, the treasury bought 80 “coins”. However, the authorities are in no hurry to spend these funds. Earlier, El Salvador’s President Nayib Buquele predicted that the BTC exchange rate would reach $100,000 by the end of the year. But that hasn’t happened. Moreover, some of the politician’s ambitious projects, such as bitcoin bonds, have still not moved forward.