El Salvador has initiated a transfer of its Bitcoin reserves across multiple government-owned wallet addresses, a move clarified by the International Monetary Fund (IMF) to dispel speculative reports about an increase in the country’s Bitcoin holdings. The IMF confirmed that while the transfers involve shuffling Bitcoin assets between various official wallets, the overall amount of the cryptocurrency held by the government remains unchanged.
This development comes amid El Salvador’s ongoing dedication to maintaining its Bitcoin reserve portfolio, which totals over 6,200 bitcoins accumulated since the country famously adopted Bitcoin as legal tender in 2021 under President Nayib Bukele’s leadership. The strategy, aimed at promoting financial inclusion and diversification of national assets, continues despite international scrutiny and volatile cryptocurrency markets.
The IMF’s Communication Director Julie Kozack emphasized during a press briefing that recent apparent increases in El Salvador’s Strategic Bitcoin Reserve Fund solely reflect internal movements among government wallets rather than new acquisitions. These movements align with the commitments El Salvador made under its Extended Fund Facility agreement with the IMF, which requires the country to keep its net Bitcoin exposure flat while managing public finances effectively.
El Salvador’s Bitcoin initiatives have been both pioneering and controversial. While the country accumulated Bitcoin when prices were considerably lower, resulting in significant portfolio appreciation, it has also faced criticism for volatility risks and fiscal policy transparency. Recently, the government purchased 32 additional bitcoins in June 2025 as part of a strategic accumulation plan, bringing its total reserves to approximately 6,222 bitcoins valued at over $760 million, thanks to bitcoin prices soaring above $120,000.
This cautious restructuring of Bitcoin assets carries importance as El Salvador works to balance its innovative cryptocurrency policies with fiscal responsibility demanded by international financiers. After adopting Bitcoin as legal tender in 2021, El Salvador’s experiment has drawn mixed reviews; while it spurred increased tourism and financial technology interest, the IMF and critics have noted challenges including limited widespread local use and economic costs.
El Salvador’s leadership appears committed to its crypto trajectory, viewing Bitcoin not only as an investment but as a tool for modern financial inclusion. The nation also contributes to Bitcoin mining using geothermal energy from the Tecapa volcano, reinforcing its integrated approach to the digital currency economy.
President Bukele’s administration is navigating a complex landscape, balancing the global rise of cryptocurrency with domestic economic stability and compliance with international oversight. The managed transfer of reserves between wallets highlights a sophisticated digital asset management strategy rather than an expansion of Bitcoin holdings, reaffirming El Salvador’s adherence to its financial programs and international agreements.