Bitcoin Surge Elevates El Salvador’s Crypto Reserves to $500M, Bhutan Reaches $1.1B

Monday’s dramatic Bitcoin rally has significantly increased the value of Bitcoin holdings for both El Salvador and Bhutan, with El Salvador’s stash surpassing $500 million and Bhutan’s soaring above $1.1 billion.

As of the latest reports from El Salvador’s Bitcoin Office, the country holds just under 5,932 BTC, currently valued at approximately $516 million, based on Bitcoin’s price of $87,000. This is a notable increase in value for the Central American country, underlining President Nayib Bukele’s controversial yet ambitious Bitcoin adoption strategy.

However, the Kingdom of Bhutan’s story may be even more impressive. Despite its small population of around 800,000, Bhutan’s Bitcoin holdings have grown to 12,574 BTC, valued at $1.1 billion at the current market price, according to Arkham Intelligence. This amount represents more than one-third of Bhutan’s GDP, which is just under $3 billion. In comparison, El Salvador’s Bitcoin stash represents only 1.5% of its GDP.

Bhutan’s holdings have primarily been accumulated through Bitcoin mining, made possible by the country’s abundant supply of hydroelectric power. As of September, Arkham Intelligence suggested that Bhutan could be one of the largest nation-state holders of Bitcoin, potentially ranking fourth globally. El Salvador, which began accumulating Bitcoin during the 2021 bull run, adopted a dollar-cost averaging strategy in November 2022. By December 2023, the country was reportedly seeing positive returns on its Bitcoin investments.

While El Salvador has faced consistent criticism from the International Monetary Fund (IMF) over its Bitcoin strategy and fiscal concerns, the country’s financial position appears to be improving. Recently, El Salvador announced plans to buy back $2.5 billion in dollar-denominated debt, with Bloomberg reporting that the nation’s debt has seen a 4.7% return since the election of Donald Trump.