El Salvador is registering increases in unrealized profits on its Bitcoin holdings, now reaching $84.5 million. The President of El Salvador, Nayib Bukele, wanted to emphasize that the gains in BTC come from four different sources.
Summary
El Salvador and the profits on Bitcoin holdings exceeding 84 million dollars
El Salvador, Country with Bitcoin as legal tender since September 2021, is seeing its earnings soar with its investments in Bitcoin.
As of today, El Salvador counts 84.5 million dollars in unrealized profits with its various BTC purchases made over the past 2 and a half years.
The Central American country currently owns 2,861 BTC, which are now worth the equivalent of 206 million dollars.
Obviously, this surge in earnings is mainly based on the increase in the price of BTC, which in the last 24 hours has passed above the $70,000 threshold, for the first time in history.
The new all-time high of BTC has caused El Salvador’s current gain to rise to over $84.5 million, compared to $74 million yesterday. Not only that, but the total amount of BTC owned has also increased to $206 million today compared to $196.5 million yesterday.
Percentage-wise, in the last 24 hours, the total gain of El Salvador’s BTC holdings has increased from +60% to +69%.
El Salvador and its gains in Bitcoin: Nayib Bukele’s clarification
The re-elected for the second time President of El Salvador, Nayib Bukele, wanted to clarify how the country is earning Bitcoin in the form of revenues from other services.
“+ Enter #BTC from our passport program
+ Revenue from converting #BTC to USD for local businesses
+ #BTC from mining extraction
+ income in #BTC from government services”
Basically, Bukele has listed four different sources from which El Salvador earns bitcoin. These are revenues from the citizenship passport program, from the conversion of BTC/USD for local businesses, from BTC mining, and from government services.
And indeed, for example, the BTC revenues from citizenship passport, such program was approved at the end of December 2023 by the Congress. In practice, investors who donate bitcoin can in exchange obtain Salvadoran citizenship.
In October 2023, El Salvador announced its Bitcoin mining pool, called Lava Poo, in reference to the Volcano Energy project that aims to harness geothermal energy to produce energy for mining.
BTC fluctuations in the last 24 hours
Meanwhile, the price of Bitcoin in the last 24 hours is very volatile. At the time of writing, BTC is worth $71,702, but its price has ranged from a low of $71,460 to a high of $72,700.
This price has never been recorded by BTC in history, so we have been among the “all-time high” prices of the queen of crypto for 24 hours already.
Despite this fluctuation of BTC at its highest levels, the market cap of bitcoin remains above $1.4 trillion.
