In an x exchange, Tesla CEO Elon Musk described El Salvador's bitcoin holdings as “impressive” after President Nayib Bukele shared an update on the country's btc wallet. El Salvador, the first nation to adopt bitcoin as legal tender in September 2021, has witnessed significant growth in its btc investments so far this year.
Elon Musk is impressed by bitcoin's performance
President Bukele posted a screenshot detailing the country's btc holdings after the price rose above $100,000. The current balance amounts to $603,340,991.00, which represents the market value of approximately 6,000 btc owned by El Salvador. Since January 1, there has been a 117.74% increase in the value of these holdings, indicating growth of over 117% so far this year. The total profit from the investment amounts to $326,245,977.98, exceeding the initial investment by 123.67%.
Notably, El Salvador has not sold any of its btc holdings, as indicated by a realized gain of $0.00. The unrealized gain, which represents potential gains if the shares were sold at the current market value, is $333,597,190.20. The total amount initially invested in bitcoin is $269,743,800.80. The portfolio has seen a high of $603.34 million and a low of $24.77 million, illustrating both volatility and significant appreciation over time.
musk <a target="_blank" href="https://x.com/elonmusk/status/1864511096045875570″ target=”_blank” rel=”noopener nofollow”>reaction to this financial update was succinct but significant: “Impressive.”
This interaction is not the first between Musk and Bukele on social networks. On October 29, President Bukele highlighted a series of positive developments in El Salvador during his presidency. He saw declines in crime rates, food prices, migration, government spending, deficits and tax rates. At the same time, it reported increases in the value of bitcoin, economic growth, tourism, foreign direct investment, construction, power generation, military power, international image, country risk ratings, the performance of bonuses, approval ratings, income and soft power.
Musk <a target="_blank" href="https://x.com/elonmusk/status/1851040667981791633″ target=”_blank” rel=”noopener nofollow”>responded to this list with: “Super awesome.”
El Salvador's decision to adopt btc has been a topic of global interest and debate. The country's adoption of bitcoin aims to boost independence from the IMF and attract foreign investment. The substantial unrealized profits suggest that this strategy is generating significant financial benefits.
Meanwhile, Tesla's own relationship with bitcoin has been dynamic. The company initially purchased approximately 42,902 btc, but announced in July 2022 that it had sold 75% of its holdings, reducing its total to around 11,509 btc. Despite this reduction, Tesla's bitcoin holdings still exceed those of El Salvador.
However, Musk's last post about bitcoin in which he directly used “bitcoin” or “btc” was quite some time ago. On November 14, 2022, Musk wrote: “btc will make it, but the winter may be long.” The post came at a time when btc fell to $16,000 following the FTX collapse.
At the time of publication, btc was trading at $102,405.
Featured image from YouTube, chart from TradingView.com
