Despite securing a $1.4 billion deal with the International Monetary Fund (IMF) that included a commitment to halt official Bitcoin accumulation, El Salvador continues to bolster its BTC reserves—albeit in a manner that technically complies with the agreement.
According to blockchain data from the country’s National Bitcoin Office, El Salvador acquired 7 additional Bitcoin—worth over $650,000—in the seven days leading up to April 27. This comes even as IMF officials publicly reaffirmed that the Salvadoran government remains in compliance with the non-accumulation terms attached to the agreement.
Rodrigo Valdes, director of the IMF’s Western Hemisphere Department, confirmed during an April 26 press briefing that El Salvador’s fiscal sector is still adhering to the “no accumulation” clause. However, he also emphasized that Bitcoin is not the primary focus of the broader program, which centers on driving structural reforms around governance, transparency, and fiscal management.
Balancing Bitcoin Strategy Through Creative Channels
When El Salvador secured the IMF loan in December 2024, the deal stipulated that the government must remove Bitcoin’s legal tender status and cease direct Bitcoin accumulation through public institutions. Yet, recent developments suggest the country may be advancing its Bitcoin holdings through more flexible interpretations of the agreement.
According to blockchain expert and intergovernmental blockchain adviser Anndy Lian, the IMF’s stipulations allow for a potential loophole. By facilitating Bitcoin acquisitions through non-public sector entities—or by reclassifying Bitcoin-related assets—El Salvador appears able to continue expanding its crypto reserves while maintaining technical compliance with IMF terms.
“This alternative approach allows El Salvador to retain its Bitcoin-friendly image while securing critical IMF funding to address unsustainable public debt and limited reserves,” Lian said.
Lian further pointed out that El Salvador’s maneuvering offers a critical case study for other nations considering deeper engagement with digital assets, particularly in balancing international financial obligations with domestic crypto initiatives.
President Nayib Bukele’s administration continues to position Bitcoin as central to its economic narrative, even as it delicately navigates the expectations of the global financial system.
Quick Facts
- El Salvador agreed to halt public sector Bitcoin purchases as part of a $1.4 billion IMF loan deal signed in late 2024
- The IMF has confirmed the government’s compliance with the agreement.
- Despite this, the National Bitcoin Office reports ongoing Bitcoin acquisitions.
- President Bukele remains committed to increasing the country’s Bitcoin reserves.
