President Bukele announced on Monday that they had bought an additional 150 Bitcoins, as the cryptocurrency market took a plunge. At the time of the announcement, the asset’s price had dipped to $45,000 meaning that the country spent roughly $6.7 million on the purchase.
According to a tweet sent out by the pro-bitcoin president, the country was now holding a total of 700 Bitcoins having made similar purchases on previous dips.
“They can never beat you if you buy the dips- Presidential advice”- he said after the latest purchase.
Just weeks ago, the country made its first purchase of 400 coins in two lots splashing roughly $21 million in the process before the law-making Bitcoin legal tender in El-Salvador came into force.
Later on, on September 7, Bukele announced that an additional 150 Bitcoins had been purchased after bitcoin became legal tender spending roughly $7million at the times price.
Protests against Bitcoin and Chivo on the rise
Despite growing criticism and protests against Bitcoin in the country, President Bukele has remained a steadfast promoter of the asset which he believes is a major solution to the inflation and poverty which has ravaged the Central American republic.
Last week, thousands gathered in El-Salvador’s capital, San Salvador, protesting against what they termed as abuse of power by the 40-year-old populist. In addition to not understanding the workings around cryptocurrencies, protestors complained about the presidents’ decision to make Bitcoin legal tender complaining that it would only lead to an upsurge in crime. The Wednesday march saw a least one Chivo bitcoin ATM set on fire.
The Chivo wallet, which is the national bitcoin wallet for the country has sparked widespread rage by users who have complained that the government has usurped too much power on how it works, casting doubts on the whole idea of decentralization that Bitcoin seeks to achieve. Complains of constant failures forcing the government to shut it down at will have also emerged questioning the very safety of using it.
The legality of the Chivo wallet has also been put into question. Legal scholars have highlighted a section of the countries Bitcoin law that purports to force businesses who are technologically able to transact in the wallet. This is contrary to an earlier assurance by the president that citizens could use the wallet at will.
Bitcoin purchases to continue
In total, the country is estimated to have spent approximately $36 million on Bitcoin purchases to date with Bukele earlier promising that the country was going to continue buying the rare asset.
At press time Bitcoin was trading in the $43,367 range having shed roughly 8.49% in the past twenty-four hours extending last week’s losses.