El Salvador has purchased an additional 410 bitcoin (BTC) to add to its reserves. This comes on the tail of the country becoming the world’s first nation to accept BTC as its national currency and a public tender. It also comes at a time when the currency is undergoing one of its worst downward trends. While BTC is in the doldrums, and amid a market-wide crash, El Salvador purchased its latest amount, equating to around $36,590.
The government spent $15m to bolster up its reserves in the latest transaction. Since El Salvador adopted BTC as a legal tender in September 2021, the country has made a hard push for currency adoption in everyday life. El Salvador was plagued by inflation that had significantly diminished the nation’s purchasing power.
Now, BTC is arguably fixing things up. So far, El Salvador has around 1,801 BTC, all bought in the four months since the switch towards a blockchain and crypto economy. However, the latest purchase is the cheapest El Salvador ever made since the adoption of the coin as its national currency. Nayib Bukele, El Salvador President, is confident that the dip in pricing points to the mass adoption of BTC will inevitably arrive.
Crypto.com seems to agree with the president’s ambitious plan. The company estimates that the year 2022 should end up with one billion crypto users globally, or roughly one in seven people on the planet would own, trade, or use cryptocurrency.
One of the boosters towards mass adoption may be countries such as El Salvador that have assumed a ‘friendlier stance' towards the industry. However, there are also those countries that have perceived cryptocurrencies as their enemies. Russia and China are both taking action to stop the proliferation of private cryptocurrencies.