El Salvador buys BTC: “Thank you for selling cheap”
By Kateryna Salnichenko 1969 2 Jul 2022
Uncertainty in the crypto market is not a barrier for crypto enthusiasts. One of them is the President of El Salvador, Nayib Bukele. While many investors are wary of digital assets, El Salvador bought 80 BTC at $19,000 for each.
On July 1st, El Salvador purchased another 80 BTC worth $1.52 million. Information about this appeared on the official Twitter account of the President of the country, Nayib Bukele.
Many are afraid while El Salvador is buying
Fears of ordinary holders of digital assets, downsizing of cryptocurrency organizations, and calls for caution by regulators don’t seem to be able to seriously affect the country’s leadership optimism about the future of virtual currencies. It is the second purchase of BTC since the market has begun to fall. So, in early May, El Salvador purchased 500 coins at an average of 30.7 thousand dollars, spending 15.3 million dollars.
After another collapse of BTC in June, the country’s finance minister, Alejandro Zelaya, was quick to reassure citizens and dispel rumors regarding the high fiscal risk for El Salvador. Since September 2021, the country’s cryptocurrency portfolio has lost approximately 55% in value, according to CoinDesk. However, the official emphasized that virtual assets constitute only about 0.5% of the country’s annual budget, and their fall will not have a tangible impact on the economic situation in the state.
BTC officially became a means of payment in El Salvador in September 2021. The state was the first in the world to decide to use virtual currency as a means of payment at the legislative level, and the day before, it purchased 400 coins worth $20.9 million.
The Salvadorans’ attitude to the position of the country’s leadership is ambiguous. In particular, the polls show the desire of many residents to repeal the BTC legalization law and use USD exclusively for regular payments.