Thomas Daniels
El Salvador has reportedly suspended Bitcoin (BTC) acquisitions since entering into a $1.4 billion loan agreement with the International Monetary Fund (IMF) in December 2024, directly contradicting claims made by the country’s Bitcoin Office, according to a recent IMF report.
The IMF disclosed on Tuesday that the Salvadoran government has not increased its Bitcoin reserves following the signing of the loan deal. The report specifically noted discrepancies arising from the Chivo Bitcoin wallet, stating the wallet “does not adjust its Bitcoin reserves to reflect changes in clients’ deposits,” causing minor inaccuracies suggesting ongoing BTC purchases by the public sector.
Douglas Pablo Rodríguez Fuentes, president of El Salvador’s Central Bank, along with Finance Minister Jerson Rogelio Posada Molina, confirmed these assertions in a letter of intent to the IMF, stating explicitly: “In line with commitments under the program, the stock of Bitcoins held by the public sector remains unchanged.” The letter further outlined plans to reduce fiscal risk by diminishing governmental involvement in Chivo and reshaping the broader Bitcoin initiative.
Under the terms of the IMF loan, finalized late last year, El Salvador agreed to significantly curb its governmental involvement in Bitcoin, including halting taxpayer-funded acquisitions. This commitment was further reinforced in January 2025, as the Salvadoran legislature amended Bitcoin legislation, making BTC acceptance voluntary rather than compulsory, aligning with IMF conditions.
Despite these developments, Salvadoran President Nayib Bukele previously dismissed IMF requests in March, affirming publicly that Bitcoin accumulation would continue indefinitely. Bukele’s position, expressed via social media, stated unequivocally: “No, it’s not stopping. 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.”
The IMF’s recent revelations cast doubt upon El Salvador’s position as a pioneering nation advocating for Bitcoin as a strategic reserve asset, prompting concerns within the cryptocurrency community over transparency and credibility in official reporting.
Cointelegraph sought comments from El Salvador’s Bitcoin Office and the National Commission of Digital Assets but received no response by publication.
