El Salvador Sets Bitcoin Piggy Bank With $400 Mln Bitcoin

15 Mar, 2024 Updated 27 Aug, 2024

By Ezra Icy

Research and Product Analyst

Expertise : Blockchain Gaming, Cryptocurrency Market Trends, Web3 Games, Gambling

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Bitfinex Expands With New Derivatives License in El Salvador: Details

El Salvador is known to be the first country to consider Bitcoin as legal tender. It has been crypto-friendly since 2021 and is again in highlights for its stake in Bitcoin. Recently, the nation has decided to safely keep $400 Million worth of Bitcoin in cold storage. It came amid the market fall where Bitcoin was under 8% loss from its value yesterday, and the crypto market was down.

So, what’s happening? Let’s discuss that in this blog.

El Salvador Has $400 Millon Worth Of Bitcoin

In an X post (previously known as Twitter), the president of El Salvador, Nayib Bukele, said that they are storing a big chunk of Bitcoin in a cold wallet to keep the crypto safe. The cold wallet itself is stored in a physical wallet within the country’s territory and is called the country’s first “Bitcoin Piggy Bank.”

The post included a picture of the wallet, carrying 5,689.68 BTC worth $388.7 million (as per the current Bitcoin price.) Bukele has made the wallet address public to the audience for the first time to track the movement and growth of Bitcoin.

We've decided to transfer a big chunk of our #Bitcoin to a cold wallet, and store that cold wallet in a physical vault within our national territory.

You can call it our first #Bitcoin piggy bank 🇸🇻

It's not much, but it's honest work 😂 pic.twitter.com/dqzedykxT1

— Nayib Bukele (@nayibbukele) March 14, 2024

It was an impressive move by Bukele, displaying their power in the crypto industry. The number of Bitcoins held by El Salvador is twice the expected number.

Nayib Bukele has always been vocal about their investment in Bitcoin and often shared new additions to the collection through social media posts. Based on those posts, analysts have predicted El Salvador to carry around $200 Million worth of Bitcoin, but it came out to be $411 Million on the day of the Bitcoin piggy bank announcement.

Bitcoin Price Falls By 7%

Bitcoin price has fallen by 7% after setting an all-time-high record of $73750 on 14 March. It is trading at $67,741.9 after a 4.6% dip from yesterday. The market cap has also dropped to $1,329,333,878,226 after a 3.5% dip. However, the trading volume has surged over 76%, pushing the value to $81,813,090,750.

After being stuck in the bearish trends, Bitcoin has finally created an escape and got into a bullish zone from the start of this year. A significant price surge started to happen by mid-February, and as of now, it is trading above the previous ATH record.

BTC’s price fall has also affected the crypto market, leading to a price dump for many altcoins. The overall crypto market crashed by 5.85% earlier today today. By now, it seems to have recovered some of the value, and now it has to see how the charts will turn tomorrow.

Conclusion

Bitcoin’s popularity has undoubtedly grown over the years, and countries like El Salvador openly accept it as an investment option. The nation has recently locked its $400 million worth of Bitcoin in cold storage to keep it safe and grow more in value. The wallet address of the stored Bitcoin is public to the users to see what’s happening with them.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.