El Salvador currently holds 2,381 BTC with a total investment of $103 million, the value of your BTC investment has dropped to $39.4 million under current market conditions.
As the first nation in the world to adopt Bitcoin
as legal tender in September 2021, El Salvador will return to its BTC buying days after a months-long hiatus in bear market conditions.
El Salvador President Nayib Bukele announced on Nov. 16 that the Central American nation will buy BTC daily starting on Nov. 17. The announcement comes nearly three months after the nation made its last BTC purchase in July 2022.
El Salvador started buying BTC in September 2021, right after it made legal tender. At the time, BTC was in the midst of a bull market and any purchases from the nation seemed lucrative as the price hit a new all-time high every two weeks. However, with the arrival of the bear market in the second quarter of 2022, the first purchases of BTC from El Salvador began to look like a bet that it would incur huge losses.
According to public records, El Salvador currently holds 2,381 BTC at an average purchase price of $43,357. So the country spent nearly $103.23 million on its BTC purchase and the value of BTC itself is currently $39.4 million.
The history of El Salvador and BTC stock prices
The announcement of a new BTC buying routine at a time when the major cryptocurrency is trading in a new low cycle could help El Salvador offset some of its losses in the coming months.
Looking beyond the losses suffered by the small nation on its BTC purchases, the leading cryptocurrency has been instrumental in significantly lowering the costs of cross-border remittances and has also provided a boost to the tourism sector.
Related: El Salvador Bitcoin Decision: Tracking Adoption One Year Later
Cointelegraph reporter Joe Hall is currently in El Salvador surviving on BTC alone. Some initial updates from Hall suggest that BTC is accepted in most tourist spots, but mobile apps and services need further refinement.
BTC adoption in El Salvador might not look very promising at the moment due to the intense crypto winter. However, if you look at the history of the Bitcoin price cycle, the nation can easily make up for its losses in the next bull cycle by simply holding onto its BTC purchase.