El Salvador’s Bitcoin Reserves Surpass $500M, Yet Bhutan’s Story Could Outshine It

Bitcoin Surge Pushes El Salvador’s Holdings Over $500 Million, Bhutan’s Crypto Stash Tops $1.1 Billion

Monday’s Bitcoin rally has significantly boosted the value of crypto reserves for both El Salvador and Bhutan, with El Salvador’s Bitcoin holdings rising above $500 million and Bhutan’s exceeding $1.1 billion.

As of the latest data from El Salvador’s Bitcoin Office, the country now holds just under 5,932 BTC, which, with Bitcoin priced at $87,000, is worth approximately $516 million. This marks a significant increase in the value of El Salvador’s holdings, further solidifying President Nayib Bukele’s ambitious Bitcoin strategy.

However, Bhutan’s Bitcoin story may be even more remarkable. Despite having a population of just 800,000, Bhutan has accumulated 12,574 BTC, worth $1.1 billion at current market prices, according to Arkham Intelligence. This is a substantial sum for a country with a GDP just under $3 billion, meaning Bhutan’s Bitcoin stash represents more than a third of its total economic output. In comparison, El Salvador’s Bitcoin holdings account for only 1.5% of its GDP.

Bhutan’s impressive Bitcoin reserves have been primarily built through bitcoin mining, taking advantage of the country’s vast hydroelectric energy resources. As reported by Arkham, Bhutan is likely one of the largest nation-state holders of Bitcoin, potentially ranking fourth globally. El Salvador, after purchasing Bitcoin sporadically during the 2021 bull run, started dollar-cost averaging into the cryptocurrency in November 2022. By December 2023, Bukele reported that El Salvador was in profit on its Bitcoin investments.

Despite concerns raised by the International Monetary Fund (IMF) regarding the country’s fiscal health and Bitcoin strategy, El Salvador’s financial situation appears to be improving. The country recently announced plans to buy back $2.5 billion of its dollar-denominated debt. Bloomberg reports that since the election of Donald Trump, El Salvador’s debt has gained 4.7%, further signaling an improving economic outlook.