The president of El Salvador just bout 420 BTC!

[GamblersArea]

Nayib Bukele the president of El Salvador (the first country to recognize BTC as legal tender) just announced this on Twitter.

[BlackHatCoiner]

You can't really say this is a dictator, can you?

They bought 420 BTC, but I can't understand how they're so sure it'll go upwards. It's a whole country in the central America; their behavior seems like a teenager's who just learnt about the magic of Bitcoin in 2011 and bought bunch. I can't say Bitcoin is the least fluctuating asset at the moment and hence, the greatest investment strategy for a country.

Also, why would a dictator want to promote Bitcoin, a currency which is against their polity?

[DdmrDdmr]

Not sure where the money is coming from to buy those BTCs. Not that it’s a massive amount, but I’m sure their citizens would like to have the BTCs properly sourced. The second comment on the Twitter screenshot suggest that, perhaps, they are selling-off part of the Trust’s USDs to purchase more BTCs (or it could be from another origin).

Regardless, withdrawing USD from the Trust fund as stated on the Tweet, even if the amount on the Trust stays stable in terms of its aggregate USD counter value, is seemingly wild. If BTC were to take a largish and sustained plunge, the Trust would be under founded, and then what? Pour more contributor’s USD into the fund?  Would that be Twitted too ? …

[Poker Player]

You can't really say this is a dictator, can you?

I believe that we cannot tell whether he is a dictator or not only by judging his policies regarding Bitcoin.

I like his policy regarding Bitcoin, but when I read criticisms of him, I looked for information and there are several sources that point to him having an authoritarian tendency:

Bukele Speeds Up Moves Towards Authoritarianism in El Salvador

Meet Latin America’s First Millennial Dictator

The U.S. can stop El Salvador’s slide to authoritarianism. Time to act.

Also, why would a dictator want to promote Bitcoin, a currency which is against their polity?

Why do you say that? El Salvador does not have its own currency, it cannot print massively, it has been working for a long time with the USD, and switching to Bitcoin is profitable for them. It has much more to gain than to lose, unlike the USA or the EU.

[aysg76]

Not sure where the money is coming from to buy those BTCs. Not that it’s a massive amount, but I’m sure their citizens would like to have the BTCs properly sourced. The second comment on the Twitter screenshot suggest that, perhaps, they are selling-off part of the Trust’s USDs to purchase more BTCs (or it could be from another origin).

They are seemingly pouring funds into bitcoin and most probably buying the every dip and that so with large amounts also.They now accumulated additional 420 bitcoins and now the total stand at 1120 bitcoins with 700 bought before this one.As per the reports :

420 BTC is worth about $24.6 million. As previously mentioned, the purchase brings the country’s total amount of Bitcoin to 1,120 BTC, which is worth about $87.4 million USD. The country has an estimated average purchase price of just above $53,300. Bitcoin trades $58,990, down 3% as of the time of this writing.

They have spent $24.6 million for this one and bought 1120 Bitcoins in total with average of $53k so at average of $59.3 million which is also huge amount.

Regardless, withdrawing USD from the Trust fund as stated on the Tweet, even if the amount on the Trust stays stable in terms of its aggregate USD counter value, is seemingly wild. If BTC were to take a largish and sustained plunge, the Trust would be under founded, and then what? Pour more contributor’s USD into the fund?  Would that be Twitted too ? …

I think they have setup $150 million trust fund for Bitcoin and they explained it balancing with the profits like whenever they gain profits they cash out the withdrawal and the fund balance remains the same but yes you are right big tumble in prices could have adverse affect on it and they are familiar with it but the chances in long run are showing growth signs also besides they are into geo-thermal bitcoin mining also and have managed to have profits from that side also.They will most probably tweet about the good sides only and not the other ones like i have not seen any coverage for anti bitcoin campaign now or maybe media don't cares for them.So good aspects will shown publicly but the bad ones will be hidden under files.

[Zilon]

You can't really say this is a dictator, can you?

They bought 420 BTC, but I can't understand how they're so sure it'll go upwards. It's a whole country in the central America; their behavior seems like a teenager's who just learnt about the magic of Bitcoin in 2011 and bought bunch. I can't say Bitcoin is the least fluctuating asset at the moment and hence, the greatest investment strategy for a country.

Also, why would a dictator want to promote Bitcoin, a currency which is against their polity?

I guess for the president to have taken such bold step he must have good market analyst surrounding his cabinet. 420 Btc is a whooping large sum. The country would be so glad they took advantage of the dip.

Their trust fund account was just their saving grace as well since they ensured to withdraw some USD once their btc revalues. I was just wondering what if it took longer for Bitcoin to make an upsurge their economy would have been affected.

[mk4]

Dude has already bought a few times when bitcoin dipped in price a bit, and publicly announced it on Twitter just like this instance. Don't tell me we're going to create a separate topic after every purchase lmao.

[arwin100]

Nayib Bukele the president of El Salvador (the first country to recognize BTC as legal tender) just announced this on Twitter.

Nice to see how he handle this things and that announcement of buying for sure helping up bitcoin to gain confidence again eventhough the price pull back a little bit right now. I'm curious to know the future on what will happen and if we can still see some pull ups since for sure that El salvador president will be lucky if bitcoin reach at $100,000. But let see how the market pressure hold on these days.

[LoyceV]

You can't really say this is a dictator, can you?

Who's saying he is? As far as I know he's their president.

I can't understand how they're so sure it'll go upwards.

I'd say it's bluff: if it keeps going up, he did good. And if it drops, he'll just buy the dip.

Not sure where the money is coming from to buy those BTCs. Not that it’s a massive amount, but I’m sure their citizens would like to have the BTCs properly sourced.

I'm more curious how they store it: who has access? Many exchanges lost their funds to hackers, it would be nice if that doesn't happen to a (poor) country.

[sirminesalot]

I'm focusing on how he manage their country's wealth by having a trust fund that funded by BTC and USD.
That is very interesting when millenials have the chance to rule a country and they made a digital up to date breakthrough that could make a lot of profits for their country even the risk is high too.

[o48o]

You can't really say this is a dictator, can you?

They bought 420 BTC, but I can't understand how they're so sure it'll go upwards. It's a whole country in the central America; their behavior seems like a teenager's who just learnt about the magic of Bitcoin in 2011 and bought bunch. I can't say Bitcoin is the least fluctuating asset at the moment and hence, the greatest investment strategy for a country.

Of course he can't trust that it goes upwards. It's the matter of probability, but are you are thinking that Nayib would act like a sensible human being in this area? He is being seriously irresponsible that sadly is in in parallel to his personality.

Also, why would a dictator want to promote Bitcoin, a currency which is against their polity?

Because they fail to create a stable fiat currency of their own and this is a big middle finger to places like usa. And it tells a lot what they think about using usd as an alternative currency of their own.

[DeathAngel]

He’s got some conviction, that’s for sure. Making BTC legal tender over there will probably drag his people out of poverty. People working abroad are saving so much money sending remittances back home. He’s helping his people & we have to commend him for it. Their generation of young people will be so much better off financially.
Kudos to Jack Mallers for his part too.

[cheezcarls]

That’s a good thing especially for a president who makes Bitcoin a legal tender. Most likely he’ll be looking forward to long term results as we’re currently in the bullish period that is Q4. However, nothing is guaranteed and no promises that the bullish run of BTC will continue or will remain at consolidation range between $58k to $62k in my opinion.

[pooya87]

I can't understand how they're so sure it'll go upwards.

Are you suggesting that it is not going up

It's a whole country in the central America; their behavior seems like a teenager's who just learnt about the magic of Bitcoin in 2011 and bought bunch.

It is not the entire nation's wealth that is being invested in bitcoin, it is only a tiny portion of the budget being dedicated to bitcoin and they sell a portion of it to their people who would then use it as "legal tender". If a teenager put 1% of their wealth into bitcoin then they would be considered already better than 80% of the so called veteran investors.

[Imran232]

I saw lots of experts saying about this investment. They are curious about where they got the funds to buy BTC. Is this the real president or the country's bought? But I don't want to comment on any kind of thing. I respect everyone's opinion. But my opinion is slightly different from all of yours. I hope you guys don't mind. Because our country still does not support bitcoin, whereas a country that fully promotes bitcoin on a continuous basis simply fills their treasury, when our country wants to buy bitcoin, they may not be able to do so unless they pay the price set by this treasure owner.And I think we should grab BTC first before it's finished. Otherwise, at a certain time, we have to buy an untouchable amount. 

[worldofcoins]

Good for the president!!

He made a good decision, bitcoin will definitely going to hit the 100,000 $ mark at some point in the future, I say it will be within 1-2 years.

Another thing that I'm curious about is if he bought those bitcoins after reading Elon Musk's tweet...I hope that's not the case.

[dkbit98]

Not sure where the money is coming from to buy those BTCs. Not that it’s a massive amount, but I’m sure their citizens would like to have the BTCs properly sourced.

Where does the money for all government spending in the world is coming from... from people and companies that are paying taxes all the time.
I can't say that I am happy how many governments are spending their money, so purchasing few hundred Bitcoins could be a better idea than purchasing more weapons of mass destructions.

They have spent $24.6 million for this one and bought 1120 Bitcoins in total with average of $53k so at average of $59.3 million which is also huge amount.

Compared to other countries and even some bitcoin whales that is not so much, considering that El Salvador population is around 6,8 million people.
They hold only 0.005% of total Bitcoin supply, and reports are showing that countries like Ukraine, Bulgaria, United States and China own much more, or at least they owned if they sold it.

I'm more curious how they store it: who has access? Many exchanges lost their funds to hackers, it would be nice if that doesn't happen to a (poor) country.

They are mining Bitcoin with volcanos so I am sure they are not keeping Bitcoins on centralized exchange or in Bukele's Chivo mobile wallet most likely they have some multisig setup.

[Fundamentals Of]

Nayib Bukele is quite interesting in how he leads the country. I guess he really has a big influence in his government. It seems he has the power to make something done even if he does not have the sole authority over what happens to the country's finances.

I am hoping that this is the best thing the Bukele government of El Salvador can do to the tens of millions of dollars from its coffers. El Salvador is not a rich country. They actually don't have the luxury to spend that big of an amount on something unnecessary.

[BlackHatCoiner]

Who's saying he is? As far as I know he's their president.

Well, he declared himself the coolest dictator. Isn't he?

Are you suggesting that it is not going up

I'm just saying that bitcoin isn't meant to be taken that it'll constantly rise. It's volatile. Have you forgotten how it's like to be in a bear market? That's all I'm saying.

They are mining Bitcoin with volcanos so I am sure they are not keeping Bitcoins on centralized exchange or in Bukele's Chivo mobile wallet most likely they have some multisig setup.

Don't hold your breath. I remember a stompix's post showing that they don't even have a Bitcoin & LN node. (Unless they're running both over Tor)

[Lucius]

Dude has already bought a few times when bitcoin dipped in price a bit, and publicly announced it on Twitter just like this instance. Don't tell me we're going to create a separate topic after every purchase lmao.

What else to expect but a new thread for every new news that appears from El Salvador - no matter how irrelevant it may be. People are fascinated by the fact that one country (for which most are unable to show it on a map) buys Bitcoin. All is well until the sensation seekers on duty dig up the new-old sensational news that has been known for several days, but has not yet found its way to the BD board.

Nayib Bukele is quite interesting in how he leads the country. I guess he really has a big influence in his government. It seems he has the power to make something done even if he does not have the sole authority over what happens to the country's finances.

He is from the ruling party which has a majority in parliament and makes all decisions without having to depend on anyone else. Some call him a dictator, but the man has only tried to do something positive for his country - if he fails to do so, some other people will win the next election and perhaps reverse all his decisions.

They actually don't have the luxury to spend that big of an amount on something unnecessary.

Is a pet clinic a luxury or an urgent need for a country like El Salvador? I have nothing against pets, but some much richer countries do not have such clinics either - I believe that this money could be spent much better on building hospitals for people, kindergartens, schools...