CMC News

#ElSalvador Splits $BTC Holdings Into 14 Addresses

El Salvador's National $BTC Office distributed its 6,284 $BTC reserve across 14 separate addresses on Friday. The strategic move enhances security protocols and prepares for potential quantum computing developments.

The country previously held its entire $682 million $BTC reserve in a single wallet address. None of the new addresses contain more than 500 $BTC according to on-chain data analysis.

President Nayib Bukele's administration claims to purchase one $BTC daily for the strategic national reserve.

The redistribution "aligns with best practices in Bitcoin management," according to the official announcement. Quantum computing preparations represent a proactive approach to emerging technological threats.

#QuantumComputing poses theoretical risks to $BTC's ECDSA signatures and overall network security. However, Bernstein analysts suggest practical threats remain decades away from implementation.

Unused $BTC addresses with hashed public keys maintain stronger protection against potential quantum attacks. The splitting strategy reduces exposure by limiting funds in each individual address.

El Salvador's daily purchase claims contrast with statements made to the International Monetary Fund in July.

The country's central bank president and finance minister told the IMF that public sector $BTC purchases stopped in February 2025. This contradiction emerged under terms of an IMF loan agreement.

Neither President Bukele nor the National #Bitcoin Office directly addressed the IMF disclosure. Daily purchase announcements continue appearing on social media platforms despite the conflicting statements.

The 14-address distribution represents approximately $678 million in current market value. El Salvador remains one of only two countries holding $BTC as legal tender alongside the Central African Republic.