News JVTech Bitcoin falls but this country takes advantage of the crypto crisis to buy 1 BTC per day
The winter of cryptos and the fall of some industry giants doesn’t seem to make anyone unhappy. With the drop in Bitcoin’s price, some are even seeing sales ahead of their time. This is the case with this country that plans to buy 1 bitcoin a day to make the most of the crisis.
This country continues to collect Bitcoin
From its high around $54,000, Bitcoin has steadily dropped to a price of $16,500 at the time of writing. So it is clear that 2022 will not have been the most profitable year for investors and other bitcoin miners.
Fluctuating between rising and falling phases, cryptocurrency volatility continues to make dreamers. In this sense, many take advantage of these lows to buy their BTC at the best price. This is the case of El Salvador, which confirms its title of Bitcoin country.
Indeed, the smallest country in Latin America, located between Guatemala and Honduras, has been using bitcoin as legal tender for over a year. Despite the price drop, President Nayib Bukele seems unconcerned since announcing his intention to buy Bitcoin to boost the country’s crypto supply.
To do this, the government plans to “buy a Bitcoin every day”.
This announcement was sent by the Twitter account of the president pro Bitcoin, Nayib Bukele:
As of November 18, 2022, El Salvador has therefore committed to buying 1 BTC per day – but it is still unclear when it will stop…
El Salvador: the land of bitcoin
This government commitment should enable El Salvador to provide liquidity to its already sizeable reserves. In fact, the country currently has 2,301 bitcoins, or $37,966,500 at current prices.
While it may seem excessive, El Salvador has every reason to stock up. As of September 7, 2021, El Salvador has become the first country in the world to make bitcoin a legal currency. The initiative was taken by, among others, Nayib Bukele, president of El Salvador and cryptocurrency enthusiast.
The cabinet will therefore continue on its chosen path, namely experimenting on a very large scale with the daily use of Bitcoin, despite the enormous reluctance of the inhabitants.
Last month, an opinion poll showed a much less optimistic reality of the situation. Of the nearly 1,269 responses, 77.1% of residents wanted El Salvador to stop “spending government money to buy Bitcoin”.
In this sense, the main stakeholders are not necessarily involved in the maneuvers of their leaders. Many fear another Bitcoin price drop. In this kind of scenario, the treasury would drop significantly in value, despite the Salvadoran taxpayers. Nevertheless, Nayib Bukele is optimistic and intends to use the context of decline to hope for an added value if the opposite situation occurs.