El Salvador Defies IMF, Boosts Bitcoin Holdings

El Salvador's President Nayib Bukele has reaffirmed the country's commitment to Bitcoin, stating that its purchases will not cease despite a recent deal with the International Monetary Fund (IMF). The IMF's financing package for El Salvador includes conditions that prohibit the country from accumulating additional Bitcoin, but Bukele has publicly refuted these terms.

The IMF's Extended Fund Facility (EFF) for El Salvador, approved in December, initially included restrictions on government Bitcoin activities while allowing retention of existing holdings. However, a March 2025 IMF Country report published Monday added new conditions, requesting that El Salvador stop mining Bitcoin and prohibiting new BTC acquisitions by public sector entities.

In response to these conditions, Bukele took to X (formerly Twitter) to express his defiance. "This all stops in April.' 'This all stops in June.' 'This all stops in December.' No, it's not stopping," he wrote. "If it didn't stop when the world ostracized us and most 'bitcoiners' abandoned us, it won't stop now, and it won't stop in the future. Proof of work > proof of whining."

Coinciding with Bukele's defiant statement, El Salvador added another 5 BTC to its holdings on March 4, pushing its total to 6,101 BTC, valued at around $530 million at Bitcoin's current price of around $87,134. The country now has the sixth-biggest Bitcoin stockpile of any nation-state, trailing only the US, China, the UK, Ukraine, and Bhutan.

El Salvador's Bitcoin journey began in September 2021 when it became the first country to make Bitcoin legal tender. However, in January, the country narrowed Bitcoin's legal tender status, making BTC acceptance voluntary for private sector merchants. Despite criticism and concerns from the IMF regarding Bitcoin's volatility and lack of regulatory oversight, Bukele has remained committed to the cryptocurrency as a means to promote financial inclusion and economic growth.

Bukele's stance has received support from prominent Bitcoin stakeholders, such as Michael Saylor, co-founder and executive chairman of Strategy. In response to Bukele's Tuesday post, Saylor stated, "Bitcoin adoption is unstoppable." As the debate surrounding El Salvador's Bitcoin policy continues, the country remains dedicated to its long-term