The International Monetary Fund has confirmed that all bitcoin added to El Salvador's official holdings since June 2025 was sourced entirely from private donations, with no public funds used for accumulation. The disclosure comes as the two sides reached a staff-level agreement on the combined second and third reviews of El Salvador's 40-month Extended Fund Facility arrangement, which will unlock approximately $140 million in financing pending IMF board approval.

Market Context

The revelation provides clarity on how El Salvador's official bitcoin balance has continued climbing despite an earlier IMF agreement that called for the public sector's holdings to remain unchanged. The country's official tracker now shows 7,764.37 BTC after a jump of more than 1,000 BTC in November and sustained daily additions averaging one BTC per day. This growth trajectory stands in contrast to earlier restrictions placed on public-sector purchases under the original loan program terms.

Analysis

The IMF's confirmation that private donations—not government funds—financed recent bitcoin accumulation marks a significant shift in how El Salvador is managing its crypto strategy while maintaining compliance with international financial commitments. President Nayib Bukele had stated in March of the previous year that the country's bitcoin purchases would not stop, and this arrangement appears to allow continued accumulation through alternative channels without violating IMF program conditions.

The government has also transferred majority ownership and operational control of its Chivo crypto wallet to an unidentified private operator while retaining a minority stake. El Salvador will maintain responsibility for custody of customer assets under the new structure. The IMF did not identify the private operator taking over Chivo operations, leaving market observers to speculate on which entity now controls the national cryptocurrency infrastructure.

Additionally, both parties agreed on measures to strengthen the legal and supervisory framework for cryptocurrency activities while improving oversight of bitcoin held by the public sector. This regulatory reinforcement suggests El Salvador is working to address previous concerns about transparency and governance that have surrounded its crypto policies since becoming the first country to adopt bitcoin as legal tender in 2021.

The original IMF agreement had made private-sector acceptance of bitcoin voluntary, required taxes to be paid in U.S. dollars, and limited public-sector purchases—all conditions that appear to have shaped how the Bukele administration has pursued its ongoing crypto strategy through alternative funding mechanisms.

Key Numbers

- 7,764.37 BTC — Current official bitcoin holdings according to El Salvador's tracker

- $140 million — Financing tranche pending IMF board approval under the staff-level agreement

- $1.4 billion — Total Extended Fund Facility program size over 40 months

- 1,000+ BTC — Amount added in November alone before daily one-BTC accumulation continued

- June 2025 — Cutoff date for private donation-sourced accumulation confirmed by IMF documentation

What to Watch

IMF board approval of the combined second and third reviews will determine whether El Salvador receives the $140 million tranche. Market participants should monitor for identification of the private Chivo wallet operator, as this development could signal broader institutional involvement in sovereign crypto infrastructure. The strengthened legal framework for cryptocurrency regulation may set precedents for other nations navigating IMF relationships while maintaining digital asset programs. Bitcoin's current trading level remains relevant to the valuation context of El Salvador's growing official holdings.