El Salvador Isn’t Buying Bitcoin With Public Money, Says IMF

According to reporting by Bitcoin Magazine, El Salvador has not used public funds to accumulate bitcoin since the International Monetary Fund's last review of its loan program. In a report published Thursday, the IMF stated that the country received bitcoin through private donations, citing government documentation.

The fund added that no additional bitcoin accumulation beyond the documented donations is anticipated. Documentation verified that bitcoin accumulation reflected private donations without public resource usage. Understandings were reached regarding steps to modernize the legal, regulatory, and supervisory framework for digital assets, and to strengthen governance and risk-management arrangements for public-sector crypto holdings.

Additionally, public participation in the government-sponsored Chivo wallet has largely wound down, with majority ownership and operational control transferred to a private operator. El Salvador entered a $1.4 billion loan agreement with the IMF in December, which included requests for the country to scale back certain aspects of its bitcoin strategy. President Nayib Bukele previously stated in 2022 that the country would buy one bitcoin per day, though funding sources remained unclear.