David

Strike

Felix

El Salvador’s Bitcoin (<a href="https://cryptoslate.com/coins/bitcoin/">BTC</a>) investment faces nearly $20 million in unrealized losses despite the top asset’s recent rally to $35,000, data from <a href="https://nayibtracker.com/">Nayibtracker</a>, a platform monitoring the Central American country’s BTC holdings, reveals. 
Per the site, El Salvador has acquired 3,062 Bitcoin at an average cost of approximately $40,594.93, totaling about $124 million. On the other hand, BTC is trading at around $34,442, marking a significant 15.216% decrease in the country’s investment as of press time. 
On Oct. 23, Bitcoin briefly touched a <a href="https://cryptoslate.com/insights/bitcoins-climb-past-35000-triggered-over-221-million-in-liquidations/">yearly high of $35,000</a> following increased <a href="https://cryptoslate.com/blackrock-could-seed-spot-bitcoin-etf-by-end-of-october-filing-suggests/">optimism</a> that the U.S. Securities and Exchange Commission (SEC) would approve a spot BTC exchange-traded fund (ETF) application. 
Nevertheless, it’s worth noting that the top asset is still trading around 50% below its record high of Nov. 2021. Notably, El Salvador President Nayib Bukele led the country into making BTC a legal tender and initiated the <a href="https://cryptoslate.com/president-bukele-reveals-el-salvador-will-buy-1-bitcoin-daily/">government’s cryptocurrency purchases</a> around this period. 
<h2 id="btc-in-el-salvador">BTC in El Salvador</h2> 
Bitcoin adoption in El Salvador continues to face <a href="https://cryptoslate.com/el-salvadors-bitcoin-experiment-sees-slow-adoption-but-crime-reduction/">troubles</a> despite the country adopting the flagship asset as a legal tender. 
In August, a <a href="https://ark-invest.com/newsletters/issue-381/?utm_content=262467846&amp;utm_medium=social&amp;utm_source=twitter&amp;hss_channel=tw-2398137084#2-bitcoin-adoption-in-el-salvador-is-lagging-that-in-argentina">report</a> from crypto research firm Ark Invest revealed that <span class="c5aZPb" role="button" data-enable-toggle-animation="true" data-extra-container-classes="ZLo7Eb" data-hover-hide-delay="1000" data-hover-open-delay="500" data-send-open-event="true" data-theme="0" data-width="250" data-ved="2ahUKEwjk2fO3yI6CAxVUQ0EAHTT3BdIQmpgGegQIGhAD">Salvadorans prefer to transact in the U.S. Dollar instead of the top cryptocurrency. 
“The citizens of El Salvador prefer to transact in USD, which became legal tender in El Salvador in 2001 and has protected purchasing power from the inflation and devaluations that have ravaged other countries in the region,” Ark Invest’s David Puell wrote. 
<blockquote>
 “In contrast, the price of bitcoin has been quite volatile in the face of growing pains as it endeavors to evolve into a monetary system with increased liquidity and global adoption.”
</blockquote> 
Despite these concerns, Vice President Felix Ulloa <a href="https://www.forbes.com/sites/digital-assets/2023/10/15/according-to-its-vice-president-bitcoin-adoption-is-helping-el-salvadors-rebirth/amp/">said</a> the country’s BTC’s adoption has contributed to its revitalization. According to Ulloa, the move has helped the country <a href="https://cryptoslate.com/binance-becomes-el-salvadors-first-licensed-crypto-exchange-amid-regulatory-struggles-worldwide/">attract many investors to its shores</a> and has helped to reposition it among the comity of nations. 
El Salvador draws interest from the crypto community, with Bitfinex recently debuting a <a href="https://cryptoslate.com/bitfinex-documentary-on-the-rise-of-bitcoin-in-el-salvador-to-premiere-in-lugano/">documentary</a> on the country’s BTC adoption. Additionally, crypto payment company Strike has revealed intentions to <a href="https://cryptoslate.com/jack-mallers-said-he-didnt-trick-anyone-about-strikes-expansion-plans/">move headquarters</a> from&nbsp;Chicago, U.S., to El Salvador. 
The post <a rel="nofollow" href="https://cryptoslate.com/el-salvador-has-almost-20-million-in-unrealized-losses-despite-bitcoins-recent-rally-to-35k/">El Salvador has almost $20 million in unrealized losses despite Bitcoin’s recent rally to $35k</a> appeared first on <a rel="nofollow" href="https://cryptoslate.com">CryptoSlate</a>.

El Salvador has almost $20 million in unrealized losses despite Bitcoin’s recent rally to $35k

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