El Salvador Defies IMF Again, Keeps Buying Bitcoin Despite Loan Conditions

El Salvador has secured a $120 million disbursement from the IMF as part of its $1.4 billion loan agreement, but only after agreeing to reduce direct government involvement in Bitcoin operations.

The country must cease using the state-run Chivo wallet by the end of July and maintain current Bitcoin holdings without further state purchases.

Despite these terms, President Nayib Bukele’s administration continues to quietly accumulate Bitcoin.

The country’s Bitcoin Office confirmed another recent purchase, bringing El Salvador’s total holdings to over 6,190 BTC. Bukele claims the national portfolio is now up 132%, with an unrealized gain of $386 million.

While the IMF reiterates caution, El Salvador presses on with its Bitcoin strategy — reportedly buying one BTC daily. Some speculate the government may be using third-party entities to stay technically within IMF guidelines while continuing to expand its crypto reserves.

This delicate balancing act underscores a growing friction between traditional finance rules and emerging digital asset policies.