Bitcoin Investment Portfolio of El Salvador Shows Temporary Profit of $10 Million Rachel - 10/01/2024
Thanks to Bitcoin's recent surge to new highs, El Salvador's investment in this cryptocurrency has not only broken even but also recorded a profit of approximately $10 million.
El Salvador's Bitcoin Investment Portfolio Shows Temporary Profit of $10 Million. Image: DigFin
Benefiting from Bitcoin's (BTC) rapid rise amidst the current Bitcoin ETF frenzy, El Salvador is profiting approximately $10 million from its investment portfolio, marking a turnaround from a year of losses.
1H chart of BTC/USDT pair on Binance at 10:40 AM on 10/01/2024
El Salvador began investing in Bitcoin in September 2021, immediately after becoming the world's first country to recognize Bitcoin as legal tender. To date, this Central American nation has made 12 large-scale Bitcoin purchases. Since late 2022, El Salvador has announced a strategy of Dollar Cost Averaging (DCA), purchasing 1 BTC daily at regular intervals.
According to data from Nayibtracker, El Salvador currently holds a total of 2,799 Bitcoin, valued at approximately $128.7 million, with a temporary profit of nearly $10 million. El Salvador's DCA price per BTC is $42,443. If sold at the recent peak of $47,972, set in the early hours of January 10, the volcanic land could potentially realize profits of up to $16 million.
History of El Salvador's Bitcoin Investments. Source: Nayib Tracker (10/01/2024)
El Salvador's Bitcoin investment portfolio officially broke even in December 2023. At that time, President Nayib Bukele optimistically stated that it would be "a long time" before any Bitcoin was sold on social media.
In addition to the positive news for its investment portfolio, El Salvador's world-first Bitcoin bonds have been approved and are scheduled to launch early this year. Furthermore, the country's government recently collaborated with Tether to introduce the "El Salvador Self Visa Program." Under this program, anyone can become a citizen of El Salvador by investing $1 million in USDT or BTC in the country.
However, El Salvador is not the only investor profiting from Bitcoin. Publicly traded company MicroStrategy is also sitting on a massive profit. For instance, if MicroStrategy were to sell Bitcoin at the current price of $46,209, it would profit $2.8 billion.
History of MicroStrategy's Bitcoin Investments. Source: Saylor Tracker (10/01/2024)
