El Salvador's Bitcoin Holdings Surge 33% to $107 Million, IMF Calls for Reforms MicroStrategy Acquires $764.85 Million in Bitcoin, Faces $5.9 Billion Loss Lawsuit

El Salvador’s Bitcoin holdings have surged by $357 million, reaching an intra-day high of $107,108. This significant gain reflects the country’s growing commitment to cryptocurrency, despite ongoing scrutiny from the International Monetary Fund (IMF). The IMF has called for reforms to El Salvador’s Bitcoin Law, aiming to mitigate systemic financial risks. El Salvador began accumulating Bitcoin in 2021 and adopted it as legal tender, with recent purchases indicating a continued dedication to the cryptocurrency. The country’s Bitcoin interests align with those of the US, suggesting a complex geopolitical landscape.

Meanwhile, MicroStrategy, led by Michael Saylor, has acquired 7,390 BTC worth $764.85 million, achieving a notable BTC yield of 16.3% year-to-date in 2025. This aggressive investment strategy reflects robust confidence in the cryptocurrency market. However, MicroStrategy is facing a class-action lawsuit over alleged misleading Bitcoin investment statements. The lawsuit claims that the company’s executives concealed significant risks, leading to an unrealized loss of $5.9 billion in Q1 2025 due to new accounting rules imposed by regulators. Despite these challenges, MicroStrategy plans to robustly contest the claims, highlighting the contentious nature of cryptocurrency investments.

The IMF’s scrutiny of El Salvador’s Bitcoin policies adds another layer of complexity to the situation. The IMF has called for reforms to the nation’s Bitcoin Law, seeking to mitigate systemic financial risks. In December 2023, the Salvadoran government committed to reducing Bitcoin’s mandatory use and its involvement in Bitcoin-related infrastructure. Despite these constraints, El Salvador continues to accumulate Bitcoin, demonstrating its commitment to the cryptocurrency. The nation’s Bitcoin interests align with those of the US, suggesting a deepening diplomatic and Bitcoin-related cooperation.

MicroStrategy’s acquisition of 7,390 BTC worth $764.85 million reflects a robust investment confidence despite increasing scrutiny. The company currently holds 576,230 BTC, with an average buying price of $69,726 and an unrealized profit of $19.15 billion. However, the company is now facing a class-action lawsuit over alleged misleading Bitcoin investment statements. The lawsuit claims that MicroStrategy downplayed Bitcoin’s price fluctuations and failed to adequately explain how new fair-value rules could impact its operations. Despite these challenges, the company plans to robustly contest these claims, showcasing the contentious nature of cryptocurrency investments.

In summary, El Salvador’s Bitcoin holdings have surged by $357 million, reflecting the country’s growing commitment to cryptocurrency despite IMF scrutiny. MicroStrategy’s aggressive investment strategy in Bitcoin has resulted in significant gains but also legal challenges. The complex geopolitical landscape and the contentious nature of cryptocurrency investments highlight the risks and opportunities in the market.