IMF Confirms El Salvador’s Bitcoin Holdings Remain Unchanged

TLDR

• El Salvador hasn’t bought new Bitcoin since December 2024.
• IMF’s report clarifies state Bitcoin holdings are unchanged.
• Consolidation of wallets led to perceived increases in Bitcoin holdings.

In a significant update, the International Monetary Fund (IMF) released its latest Article IV consultation report on July 15, 2025. The report states that El Salvador has not purchased any new Bitcoin since December 2024. This finding clarifies previous confusion about the growth in state Bitcoin holdings, attributed instead to internal wallet consolidations.

The IMF consultation report explains that the increases in El Salvador’s Bitcoin holdings result from the consolidation of Bitcoin across government-owned wallets. This clarification dispels earlier assumptions of new acquisitions in the market. The IMF emphasizes that the total amount of Bitcoin held by the public sector has stayed constant since the approval of its oversight program.

Key Figures and Comments

El Salvador’s decision to consolidate Bitcoin instead of purchasing more aligns with the conditions of the IMF’s $1.4 billion Extended Fund Facility (EFF) loan. The IMF had stipulated limits on further Bitcoin purchases and urged improvements in fiscal transparency for continued funding support.

In July 2025, an additional $118 million was disbursed by the IMF, conditional upon meeting oversight criteria, including the phased wind-down of the state-issued Chivo wallet. This reflects compliance with the transparency terms outlined in the EFF agreement. No recent statements from El Salvador’s government Twitter feed or official portals suggest new Bitcoin purchases, consistent with the IMF’s observations.

Reactions from Industry Experts and Observers

Samson Mow, CEO of JAN3, responded to the Bitcoin wallet activities by stating, “it’s just internal transfers,” addressing potential misinformation regarding on-chain data. This aligns with the IMF’s findings that the movements were purely internal.

“Increases in [El Salvador’s] Bitcoin holdings in the Strategic Bitcoin Reserve Fund reflect the consolidation of Bitcoin across various government-owned wallets.”

IMF Country Report

Context and Historical Perspective

President Nayib Bukele of El Salvador has been prominent in promoting Bitcoin as a legal tender since September 2021. This initiative has placed the country under global scrutiny and the watchful eye of the IMF, which historically views Bitcoin with skepticism as a state currency.

Concerns over transparency in official Bitcoin reserves have arisen in the past. For instance, the IMF previously criticized discrepancies in reported holdings due to internal wallet consolidations and alleged double-counting incidents. The current IMF report mitigates previous speculation about potential market volatility triggered by misinterpreted Bitcoin activities.

Regulatory and Institutional Developments

As part of the ongoing oversight, the IMF requires El Salvador to submit quarterly public financial disclosures and increase transparency in state Bitcoin management. This is to ensure compliance with the international financial protocols necessary for maintaining economic stability and investor confidence.

The Bukele administration has reportedly agreed to these standards to maintain international funding, with no plans for significant state Bitcoin acquisitions in the near future. This strategic decision comes amidst discussions about the future of Bitcoin adoption and local regulatory advancements.

Market Impact and Ongoing Processes

Bitcoin remains the primary asset in El Salvador’s treasury, but the IMF’s findings indicate no new impact on Ethereum or other cryptocurrencies. There have been no associated changes noted in decentralized finance assets, stablecoins, or Layer 1/Layer 2 chains from these wallet consolidations.

Despite no official new purchases, GitHub, Reddit, and Discord communities observe continuous local enthusiasm for Bitcoin. Conversations revolve around the stagnation in state-level adoption efforts and the active role of independent developers in sustaining interest in Bitcoin initiatives.

For further insights and market trends, check out Bitcoin Office updates on market trends.