Bukele Slams El País Over Bitcoin Misinformation

Key takeaway: Nayib Bukele clarified that the transfer involved Chivo's shares, not the actual Bitcoin reserves, and emphasized the Strategic Bitcoin Reserve remains under state control.

What's Changing

President Nayib Bukele recently addressed false claims made by the Spanish newspaper El País, stating that El Salvador did not transfer its strategic Bitcoin reserves. The dispute arose from an agreement with the International Monetary Fund (IMF) that suggested the government had yielded control over 7,763 Bitcoins valued at over $632 million. Bukele clarified that the transfer involved only the shares of Chivo, the state-backed wallet service, not the actual reserves.

What It Means for Residents

The clarification is important for expats and digital nomads in La Libertad, as it reaffirms the security of the Strategic Bitcoin Reserve. For those using Chivo services, nothing has changed. The president highlighted that the reserve remains under state control, ensuring the stability and safety of the Bitcoin holdings.

Bukele also pointed out that the IMF’s 2nd and 3rd reviews under the Extended Fund Facility (EFF) arrangement detailed the proposed transfer of Chivo shares, which had been discussed for over a year and a half. This transparency helps maintain trust in the government’s financial dealings.