El Salvador moves $400 million worth of Bitcoin into cold wallets



In El Salvador, Central America, which created the world's first

law to make Bitcoin legal currency , President Najib Bukele announced the transfer of approximately 5,700 BTC to cold wallets. The assets are equivalent to 400 million dollars (about 59.6 billion yen).



El Salvador Bitcoin Treasury Is a Lot Bigger Than We Thought - Decrypt
https://decrypt.co/221866/el-salvador-bitcoin-treasury-wallet



El Salvador stashes $406 million in bitcoin in 'cold wallet': Bukele

https://www.france24.com/en/live-news/20240315-el-salvador-stashes-406-million-in-bitcoin-in-cold-wallet-bukele

El Salvador moves $400 million worth of bitcoin holdings to new 'cold wallet,' president says | The Block
https://www.theblock.co/post/282699/el-salvador-moves-over-400-million-worth-of-bitcoin-holdings-to-new-cold-wallet-president-says

President Bukele reported with a screenshot that he had stored some of his Bitcoin in an offline cold wallet. The amount is 5689.68509200 BTC, which is 406,607,655 dollars in dollar terms. In Japanese yen, this is equivalent to 59.6 billion yen.

El Salvador is the first country in the world to announce that it will adopt Bitcoin as a legal currency in 2021.

El Salvador is expected to become the first country in the world to adopt Bitcoin as legal tender - GIGAZINE



The reasons for its adoption include that approximately 70% of the Japanese population uses cash for payments, and bank accounts and credit cards are not widely used, and that it saves fees and time when sending international remittances.

When the law went into effect in September 2021, President Bukele decided to buy more Bitcoin, as the price of Bitcoin was falling. I increased my Bitcoin holdings to 700BTC.

President of El Salvador announces large-scale purchase of Bitcoin in response to falling Bitcoin price - GIGAZINE



However, the price of Bitcoin goes up and down, so in May 2022, when the price of Bitcoin fell to below half of its peak, the total purchase price was 103 million dollars, but the value was 74 million dollars. It is estimated that the company suffered a loss of 30%.

El Salvador has suffered a loss of nearly 30% due to Bitcoin plummeting - GIGAZINE



However, after that, the Bitcoin market bottomed out and recovered to 1 BTC = $40,000 in December 2023 for the first time in about a year and a half.

Bitcoin exceeds $40,000 (approximately 5.9 million yen) for the first time since May 2022, symbolizing that digital assets are on the verge of an extended recovery in 2023 due to expectations for interest rate cuts and demand for ETFs - GIGAZINE



President Bekele has occasionally posted the amount of Bitcoin held by El Salvador, and until this announcement, it was thought that the amount held was around 2,848 BTC, but in reality, it was revealed that it held about twice that amount, about 5,900 BTC. Become.

In addition, El Salvador will hold a presidential election in February 2024, and President Bukele will be re-elected.

Incumbent centre-right Bukele is re-elected in El Salvador's presidential election (El Salvador, Latin America) | Business Brief - JETRO Overseas News - JETRO
https://www.jetro.go.jp/biznews/2024/02/14d70d0f752baed8.html

By the way, the news site France24 points out that 88% of people living in El Salvador will not use Bitcoin even once in 2023, as a result of a survey conducted by the University of Central America.

in Note, Posted by logc_nt